Sustainability certifications are reshaping the logistics real estate market, driving property values up by as much as 24% and boosting rents by 10–30%. With lenders and investors prioritising eco-certified assets, sustainable properties are emerging as a key competitive advantage in the industry.
Foreign investment in Denmark has been shifting as rising interest rates have tightened lending conditions. The industrial and logistics (I&L) sector now attracts 48% of foreign real estate investments, up from 14% in 2017-2022, while residential investments dropped from 53% to 32%.
Driven by e-commerce demand and favorable loan terms, I&L properties stand out as a resilient investment despite a slight increase in vacancy rates. This trend highlights a strategic pivot driven by changing market conditions, with future investments expected to adapt as interest rates stabilise.
To improve clarity and legal security for international tenants, an English version of the standard Danish tenancy agreement has been introduced in the Danish Parliament. The new version, which is currently under consultation, aims to address the challenges faced by non-Danish speakers, such as international students and expatriates, by providing a legally binding standard tenancy agreement in English.
Blackstone-managed funds have successfully acquired a portfolio of light industrial/warehouse properties in strategic locations around Copenhagen and the Triangle Region from Dansk Ejendomsfond I.
The Joint Venture has been entered into in relation to a simultaneous acquisition of the residential real estate asset, Project Gateway, located in Rødovre, Denmark, which comprises of 534 residential units and 15 commercial units distributed across a total of app. 37,150 sqm.
Pensions company Pensam has expanded its portfolio with the acquisition of the Kamillehuset residential property in Rødovre from Heimstaden Bostad. The newly constructed building from 2022 covers nearly 20,000 sqm and includes 145 apartments, nine commercial units, and 150 parking spaces. While the price remains undisclosed, sources indicate it was just under half a billion DKK.
In November, the transaction volume for commercial real estate in Denmark reached DKK 2.9 billion, bringing the total for the year to DKK 40 billion. Recent data indicates that the market is regaining momentum after challenging years, with activity driven by major transactions and increased underlying activity [source: Nordicals].
Industrial and logistics properties accounted for 49% of November’s volume, while residential and retail properties contributed with 32% and 14%, respectively [source: Erhvervsmæglernes Branchedata].
Market optimism is growing, supported by strong economic fundamentals, low vacancy rates, and a gradual return to construction activity. Analysts predict higher transaction volumes in 2025, reflecting improved investor confidence and favorable conditions.