European Industrial Market Dynamics Q2 2026

JLL’s latest Industrial Market Dynamics provides updates on European leasing market as well as capital market dynamics

Authors

Alexandra Tornow

Europe's logistics leasing market posts strongest H1 on record except for the pandemic years.
Surging e-retail activity and a continued shift to outsourced logistics drives demand.
Continued declining construction activity in Q2 is further exacerbating supply constraints across core markets.
Tightening modern supply in core markets drives continued rental growth for best-in-class sustainable assets.
Industrial capital markets record the strongest first-half year result on record except for the pandemic years,15% ahead on the same period last year.
At 4.95%, the weighted European prime logistics yield remained largely unchanged for the sixth consecutive quarter in Q2 2026.

Looking for more insights? Never miss an update.