Investing in offices in Germany

Why invest in an office in Germany?

In a Europe with a fragile economy, Germany is an exception and continues to convince investors by the stability of its indicators. With unemployment at its lowest level, strong growth and low debt, the country’s economic development is built on sound foundations. The country is driven by a dense network of export-oriented SMEs and reinforced by large industrial groups with high added value in transport, new technologies and industrial equipment. The success of these companies increases the pressure on office space, especially in the big cities.

Indeed, a new industry oriented towards innovation and digital technology is shaking up the traditional sectors. Start-ups creating new niches or innovating in others are on the rise in cities such as Hamburg, Munich, Leipzig or Berlin. Genuine incubators and ecosystems are being created to create the economy of tomorrow. The dynamic seems particularly advantageous for investing in offices in Germany.

The financial situation in Germany is really good to invest in an office. For example, property tax is much lower than in other countries like France, there is no wealth tax for residents, and a tax-free capital gain on resale is possible after only 10 years.

What are the criteria to consider?

Buying office space in Germany can lead to a multitude of goods. Only a handful of them correspond to your investment goals. Location first: In more developed cities with limited open space, such as Munich or Hamburg, it makes sense to consider whether new business centres are planned in the vicinity of the centre before considering established business centres. In cities with a strong start-up industry, such as Berlin or Leipzig, offices are usually located in still underdeveloped areas, where rental prices are still affordable. However, these areas can quickly become gentrified due to the attractiveness of these young companies. There are therefore opportunities for significant capital gains on resale.

Some old offices can also represent an opportunity by the possibilities of rehabilitation of these spaces into apartments, shops, cafés or clubs/bars. Similarly, former workshops or industrial buildings from the beginning of the 20th century or the end of the 19th century can be rehabilitated into spaces capable of accommodating offices. These buildings are generally good investments since their construction meets high quality criteria for industrial and commercial activity.

The advantages of our agency for your search

• Your project and your objectives are at the heart of our concerns
• Our network of partners close to the field are at your disposal
• We accompany you at all stages of your search and beyond
• We advise you on how to optimise the costs of your investment