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The document presents a 2025 market overview of the Luxembourg office sector, showing office take-up of 179,500 square meters, representing a 34% increase compared to 2024 and a 4% decrease versus the 2020-2024 average. The occupier market recorded 186 transactions in 2025 with an average transaction size of 965 square meters and a median of 322 square meters, with 75% of transactions involving spaces smaller than 1,000 square meters, and the largest deal being JP Morgan's letting of 13,975 square meters at The Waves building in Kirchberg.

Cushman & Wakefield's MarketBeat report for Luxembourg's office market in Q4 2025 covers economic indicators, take-up activity, rental rates, vacancy, and investment volumes, finding that annual take-up reached 179,000 sq m (23% below the ten-year average) with 65% concentrated in grade A buildings, while the market showed stable prime rents at €54/sq m/month in the CBD and a 5.20% overall vacancy rate. Key economic projections include GDP growth of 0.57% in 2025 with expectations to strengthen to 2.29% in 2026, HICP inflation at 3.3% in December 2025, and investment volume of €333 million across 10 deals for the full year.

This Cushman & Wakefield MarketBeat report analyzes Luxembourg's office market in Q3 2025, finding year-to-date take-up of 131,000 sq m and investment volume of €188 million amid an economy forecast to grow only 0.93% in 2025 due to weaker global conditions and U.S. tariff uncertainty. The report indicates occupier activity remains 20% below the 10-year average as businesses adopt a cautious stance, though prime rents in the Cloche d'Or district increased from €38 to €40/sq m/month and overall office vacancy stabilized at 5.17% following 78,000 sq m of new completions in Q3.

This document analyzes Luxembourg's office market for the first nine months of 2025, reporting that office take-up reached 128,600 square meters, representing a 42 percent increase compared to the same period in 2024 and a 5 percent rise above the 2020-2024 average. The report notes that despite a Q3 slowdown, the market recorded 137 transactions across nine months, with 80 percent involving spaces smaller than 1,000 square meters, and identifies JP Morgan's 13,975 square meter lease at The Waves in Kirchberg as the largest deal.

Luxembourg's office occupational market recorded take-up of 60,975 square meters in Q2 2025, marking one of the strongest quarters since early 2023, driven by large corporate demand for Grade A, ESG-compliant buildings, while prime rents remained stable at €54/sq m/month despite strong activity and vacancy held steady at 5.10% for the first time in several quarters. The investment market recorded modest recovery with €127 million in Q2 transactions, bringing H1 2025 cumulative investment to €158 million significantly below the five-year H1 average of €380 million, with prime yields adjusted downward to 4.90% reflecting cautiously improving sentiment for core assets.

This Cushman & Wakefield MarketBeat report analyzes Luxembourg's retail market and economic conditions for the first half of 2025, finding modest GDP growth of 1.04% forecast for 2025, inflation at 2.4% in June exceeding the Eurozone target, an unemployment rate of 5.77% expected for 2025, and retail take-up of just 10,500 square meters across 30 deals with prime high street rents stable at €145 per square meter per month. Investment activity surged to €167 million year-to-date driven entirely by a single €167 million shopping centre acquisition by Wereldhave, while retail yields remained stable at 6.25% for shopping centres and 4.50% for high street properties, though current yield levels reflect market consensus rather than active transactional benchmarks.
Luxembourg's retail market closed 2025 with full-year take-up reaching 24,360 sq m across 57 transactions, an improvement on 2024 but below the 10-year average. Investment activity was highly concentrated with just two transactions totaling €188 million, both involving disposals by Nextensa. Prime rents held steady across all segments with yields stable at 4.50% for high street, 6.00% for out-of-town, and 6.25% for shopping centres, while GDP growth is projected to strengthen to 2.29% in 2026.

Luxembourg's office market in Q1 2026 experienced a sharp 37% year-on-year drop in take-up to 24,779 square meters due to geopolitical tensions, with vacancy improving to 3.6% and prime CBD rents holding steady at €54/sq.m./month while citywide average rents reached €35.6/sq.m./month. Investment activity remained limited with only one major deal—the State's acquisition of Edison 2 for redevelopment into a European school—though the outlook indicates continued rental growth driven by inflation and construction cost pressures.

JLL's 2025 annual review of Luxembourg's office market reports a 36% growth in take-up to 181,160 square meters, driven primarily by the financial sector, with rental vacancy declining to 3.9% and prime office yields compressing by 25 basis points to 4.50%. Investment activity across all asset classes rebounded 38% to €839 million, approaching the five-year average of €847 million, with offices representing 54% of transaction volume alongside significant increases in retail, logistics, and residential investments.

The Luxembourg Retail MarketBeat H2 2025 report covers the Luxembourg retail property sector's performance in 2025, providing economic context, occupier market trends, and investment activity analysis. Full-year 2025 retail take-up reached 24,360 square meters across 57 transactions with prime rents stable at €145/sq m/month for high street, €90 for shopping centres, and €25 for out-of-town locations, while investment volume totaled €188 million across 2 transactions with prime yields holding steady at 4.50% for high street, 6.00% for out-of-town, and 6.25% for shopping centres.

JLL's H1 2025 analysis confirms recovery in Luxembourg's office market, with take-up reaching 102,970 m² (104% above H1 2024), vacancy rates stable at 4.2%, and investment volume of €274 million substantially exceeding H1 2024's €193 million. The recovery is driven by high-end Grade A projects and the private sector, with prime rents remaining stable at €54 per m² per month in the CBD while secondary districts experience growth.

The Luxembourg office market recorded 45,000 sq m of take-up in Q1 2025, with approximately 75% of the 406,000 sq m pipeline under construction already pre-let, reflecting ongoing flight-to-quality demand for modern, ESG-compliant buildings despite a single large 16,000 sq m pre-letting transaction (Lime House by FM Global) driving much of the volume. The investment market experienced its weakest Q1 on record with only €31 million in completed transactions across two deals, while prime rents remained stable at €54/sq m/month and prime yields held steady at 5.00%, with near-term growth dependent on renewed corporate occupier confidence amid persistent geopolitical and macroeconomic uncertainties.