Real Estate Investment Berlin: marketing of investment properties and portfolios

Berlin investment market: over €8 billion in transaction volume in 2022

With transaction volume of approximately €8.3 billion in 2022, Berlin’s commercial real estate investment market recorded a year-on-year decline of around 22 percent. However, compared to the average transaction volume of roughly €7.8 billion over the past seven years, the figures underline Berlin’s continued appeal as an investment location—even in challenging market conditions.

Office properties remained the dominant and most sought-after asset class, accounting for around 50 percent of total volume. At the same time, prime yields increased significantly across all asset classes, reaching 3.70 percent for office properties, 4.00 percent for logistics assets, and 3.50 percent for retail real estate.

Landmark investment deals

A key contributor to total transaction volume in 2022 was the sale of a 50 percent stake in the Sony Center by the Norwegian sovereign wealth fund, with a transaction value of approximately €677 million.

In addition to the Sony Center, the Norwegian sovereign wealth fund invested €457 million in “Voltaire,” a newly developed office property in Berlin-Mitte offering around 30,000 square metres of usable space. Further momentum came from projects in Europa City—one of Berlin’s most significant development districts—which together accounted for approximately €1 billion in transaction volume.

Successful year despite a challenging market environment

In 2022, Engel & Völkers Commercial Berlin recorded a total transaction volume of approximately €1.02 billion. Despite a turbulent year marked by the war in Ukraine, the energy crisis, and rising financing costs, the Berlin Investment Team achieved over €522 million in transactions across commercial asset classes. This result exceeds the previous year’s performance, demonstrating resilience and strong market positioning even in a challenging environment.

Off-market segment remains a core strength

In 2022, Engel & Völkers once again demonstrated that its core strength lies in the off-market segment. With over €322 million (+13% compared to the previous year) transacted off-market, this accounted for more than 62% of total volume, while a further 33% was completed through structured bidding processes.

The 20 successfully marketed properties highlight the Investment Team’s cross-asset expertise. Transactions included core office deals (Chausseestraße), development plots in prime locations (Tauentzienstraße), and residential complexes.

The team’s expertise in the residential asset class was also demonstrated through multiple buy-side advisory mandates. In close collaboration with the Residential and Multi-Family Division, Engel & Völkers Commercial Berlin supported acquisition reviews with a total transaction volume exceeding €1.9 billion.

Engel & Völkers Commercial Berlin completed 62% of its transaction volume through off-market deals in 2022, representing a 13% increase compared to the previous year. Especially in challenging market conditions, off-market transactions highlight the team’s strong relationships with investors and other key market participants.

Proven expertise and a strong network

Benefit from the extensive market experience of our investment experts across asset investment, office leasing, retail, and logistics sales and leasing.

The core Investment Team at Engel & Völkers Commercial Berlin consists of 17 professionals, including a team assistant, a working student, four analysts, an associate, six acquisition advisors (Director & Senior Director), the Head of Industry Services, Head of Retail Services, Head of Investment, and the Managing Director.

Through close collaboration with our Residential and Multi-Family Division, the Investment Team also maintains an extensive network of equity-strong and liquidity-capable investors.

Our services at a glance:

• Location analyses

• Property analyses

• Professional guidance and execution of acquisition and sales processes

• Structured, audit-compliant bidding procedures

• Project development

• Value optimisation

• Income analyses

• Accurate market value assessments

• Tailored advisory

We are happy to assist with any questions regarding your investment strategy.