Croisette Real Estate Partner has today launched the 2024 market report for industrial properties in Sweden. The news in this year’s report is that we have divided the report into two parts, where we thoroughly examine the industrial and logistics segments respectively, and that we have classified all properties based on location and year of construction. This means that we can better show the demand within different submarkets and regions. The report covers a total of over 143 million square meters of industrial and logistics space distributed over 52,000 properties. The report presents insights into total stock, growth, and vacancy rates in all 290 municipalities in Sweden, and rental data for metropolitan regions and regional cities is also presented.
The report presents weekly trends in vacancy levels, and we note that vacancy rates at an aggregated level in Sweden amount to 3.2%, which is a minor increase of 0.6 % YoY. Once again, our report shows strength within the industrial segment, confirmed by continued low vacancy rates and slightly increasing high rental levels. The report also shows that the logistics segment continues to grow in Sweden, but the proportion of speculative constructions in recent years has created some oversupply in certain submarkets. Overall, we can only conclude that newly constructed properties have an advantage over older stock and that ”flight to quality” is a clear trend for both investors and tenants.
In this year’s report, we will formally highlight a subsegment; ”Urban logistics”. This is a subsegment we believe fills the gap that has emerged between ”big box logistics” and the light industrial segment. The concept of “last mile” has long been discussed, but we believe it is appropriate to define it more clearly as a separate subsegment, given that we consider the risk profile to be equal to, or even better than, bix box logistics.
”This year, we are pleased to announce that we can now finally present data for both the industrial and logistics segments in detail, which has been highly demanded among our readers and customers. To improve understanding of how the market behaves, we have also classified all 52,000 properties as A, B, or C, which indicates a property’s location and/or building age. Therefore, we are excited about this year’s report and hope that readers will gain many valuable insights into the Swedish market and where it is headed. Additionally, we have a little “Ester egg” on page 20 where we present groundbreaking new data.”
David Almqvist, Co-Head of Capital Markets, Croisette Real Estate Partner.