JLL’s latest Industrial Market Dynamics provides updates on European leasing market as well as capital market dynamics.
Insight
13 February 2026
European Industrial Market Dynamics Q4 2025
Categories:
- Improving lease activity across Europe's industrial occupational markets pushed Q4 2025 take-up to the highest quarterly level in the past three years; helping to propel full-year 2025 levels to align with 2024 totals.
- Recovering 3PL activity, resilient demand from manufacturing companies, and tailwinds in retail and e-commerce contributed to rising Q4 activity.
- Speculative development falling to the lowest level in 19 months contributed to stabilizing vacancy levels. Meanwhile, modern, sustainable supply in prime locations is becoming increasingly tight.
- New build supply in select prime locations able to set new rental benchmarks contributed to slightly accelerating overall prime European rental growth in Q4 YoY. However, on a market-by-market basis, prime rents were stable in the majority of markets.
- Totalling to nearly € 15 billion in Q4, the European industrial and logistics real estate investment market recorded the best Q4 result on record except for 2021, pushing full-year volumes 11% ahead on 2024.