As we move into the second half of 2025, the European real estate market is witnessing a resurgence in investor confidence, particularly in sectors poised for growth. According to Savills, European real estate investment volumes are projected to reach €95 billion in the first half of 2025, marking an 11% year-on-year increase. This momentum is expected to continue into the latter half of the year, driven by strategic investments in high-demand asset classes.

Logistics Real Estate: A Strategic Investment

The logistics sector remains a cornerstone of European real estate investment. CBRE anticipates a pickup in leasing activity in the logistics sector through the second half of 2025, particularly for prime and Grade A spaces. This trend is supported by the ongoing e-commerce boom and the need for efficient supply chain solutions. Countries like Poland are experiencing significant growth, with modern warehouse space projected to surpass 35 million m² in 2025, reflecting an over 80% increase in just five years.

Data Centres: Meeting the Surge in Digital Demand

Data centres are emerging as a top priority for investors in the second half of 2025. The increasing reliance on cloud computing, digital services, and data storage has made these facilities critical infrastructure. CBRE notes that data centre investment opportunities are on the rise, with competition growing for assets due to strong sector tailwinds and lower borrowing costs. This surge is driven by the need to support AI infrastructure and the growing demand for data storage solutions.

In summary, the second half of 2025 presents a dynamic landscape in European real estate, with logistics and data centres standing out as the most attractive investment opportunities. Investors focusing on these asset classes are poised to capitalize on the evolving market trends and demands.

All of this will be discussed at The District 2025, from September 30 to October 2, in Barcelona. Get your ticket HERE.