Germany’s office sector is undergoing a variety of transformational changes according to Thomas Veith, real estate partner of PwC Germany.
“The market is still pretty stable,” he said. “The new development pipeline has dried out a bit so there’s not much vacancy in Germany,” he explained. And he added that the increased level of leasing provides stability in the mid to long term.
Veith explained that there are transformational processes underway with regard to office layout, the interplay with home office use, and generally about the future of the office.
“There are still a lot of corporate occupiers that don’t have their real strategy defined in terms of how they want to move forward in the mid and long run,” he told Real Asset Insight’s Richard Betts.
“That’s a change we will see, which will definitely need investment,” he said. “But it also offers a lot of opportunities to transform old office buildings into new office buildings.”
Click on the video to watch the full interview or listen to the podcast below.