- Transaction volume of €2.68 billion in the 3rd quarter of 2024
- Previous year's figure exceeded by around 90 per cent
- Total transaction volume of EUR 5.73 billion in the first three quarters of 2024
- Continued price stabilisation with 3.90 per cent prime yield
Cushman & Wakefield, one of the world's largest real estate consultancies, recorded a transaction volume of EUR 2.68 billion in the German residential property market for the third quarter of 2024. This figure is 90 per cent higher than the result for the third quarter of last year.
Single transaction makes for largest deal in Munich's residential property market history
Of the transaction volume in Q3 2024, €1.45 billion was attributable to portfolio transactions and €1.23 billion to individual transactions. The acquisition of 320 rental flats on the former site of the Paulaner brewery stands out as the largest deal among the individual transactions. Quantum Immobilien AG, via an individual mandate backed by Klaus-Michael Kühne, was responsible for the largest deal ever recorded on the Munich residential market with a transaction volume totalling EUR 264.5 million. The 290 privately financed and 30 subsidised flats together comprise a rental area of 27,300 m2.
Further large deals characterise the 3rd quarter
In addition, the Uniimmo: Wohnen ZBI fund sold 7,800 flats to Net Zero Properties S.A., a Luxembourg subsidiary of ZAR Real Estate. The portfolio comprises properties in 56 locations in seven German states.
Vonovia also sold 11 property developments for EUR 500 million to a new fund set up jointly by HIH Invest and Vonovia. In addition, three further Quarterback property developments were sold to the fund for EUR 150 million.
National investors acquired residential property worth €1.95 billion in Germany, putting them well ahead of international players, who accounted for €730 million.
Jan-Bastian Knod, Head of Residential Investment Germany at Cushman & Wakefield, commented: ‘The prime yield has stabilised at 3.90 percent and I do not expect there to be any change before the end of the year. We are also seeing rising sales on the residential market in Germany and the bottoming out of purchase prices appears to have been completed. As a result, many investors currently see this as the ideal time to re-enter the market, which is providing additional positive momentum.’
