EMEA Data Centre Report Q1 2025

The core European data centre market experienced a 13.2% increase to the total market size in 2024, this year JLL are forecasting a 10% increase to the core markets. The first quarter saw a significant slow down in terms of take up and new supply with only 31MW added, the quietest quarter since Q1 2022

Due to the sheer amount of pre-lets secured last year (702MW), we are confident that volumes will pick up towards the latter part of the year, however the constraints are really impacting the delivery of developments. Power continues to be the primary challenge facing the market however supply chains issues continue to play a significant impact. Timely access to both the power and the lead times for the key components required for construction are notably lengthening timelines.

• JLL tracked only 31MW of new supply added, the slowest quarter since Q1 2022. The development pipeline still remains strong however, we are seeing constraints and dynamic market conditions are resulting in delayed development timescales.
• Despite the relatively low level of supply, we still see demand outstrip supply. We have now seen more than five consecutive quarters of falling vacancy rates
  
• While the core markets saw a subdued first quarter the secondary and emerging markets saw a strong start to 2025. Notably Madrid, which saw 11MW of new supply added to the market.
  
• While the quantum of new supply added remains low in Q1 2025, JLL estimates there is currently 1.7GW in development and a further 1.3GW in the planning stages across the core and secondary markets in Europe.
   

Download the full report for more details