Frankfurt’s office leasing boom hits five-year high in 2025
Frankfurt’s office leasing market saw its busiest year in half a decade during 2025. Companies signed deals for 551,800 square meters of space, marking a sharp rise in activity. Major banks and financial firms led the demand, securing some of the city’s largest leases in yahoo finance.
Two of the year’s biggest deals involved well-known financial institutions. Commerzbank committed to 73,000 square meters in the Central Business Tower, while ING Deutschland took 32,000 square meters in the new HPQ building at Hafenpark Quartier. These transactions highlighted strong interest in prime locations and modern office spaces in finance.
Demand focused heavily on central areas, especially the Central Business District. Tenants favoured new constructions, speculative developments, and high-end refurbished properties. Nine large leases, each exceeding 10,000 square meters, accounted for nearly 210,000 square meters—over five times the volume recorded in 2024. Rising demand pushed top-tier rents up to around €53.30 per square meter, an increase of €4.30 compared to the previous year. Despite the activity, the vacancy rate climbed to 11% by the end of 2025. Banks, insurers, and financial services firms made up roughly a third of all leasing activity in finance. Looking ahead to 2026, experts predict sustained demand but a tighter supply of large, high-quality spaces in yahoo finance. This imbalance could lead to further rent hikes in the prime segment. Leasing volumes are expected to dip slightly below 2025’s peak, with forecasts placing activity just above 450,000 square meters.
The 2025 surge in Frankfurt’s office market was driven by financial sector demand and premium properties in finance. With fewer large spaces available in 2026, rents may continue to rise, though overall leasing activity is unlikely to match last year’s highs. The market remains robust but faces constraints from limited new supply in yahoo finance.
