January 2020
The Danish Property Federation’s Market Statistics – Vacancy • Decrease in business vacancy • The vacancy increases less for street retail than for shopping centres. • Office leases with high energy classes have lower vacancy • The vacancy for industry decreases with 0.4 percentage po ints to 8.3 percent • The residential vacancy has increased with 1.7 percentage points since January 2019
Stable vacancy rate in January 2020 The economic vacancy rate is overall almost unchanged since October 2019, and it is - with a quarterly decrease of less than 0.1 percentage points in January 2020 - at 7.2 percent. Thus, the high vacancy rate from October 2019, which is 0.6 percentage points higher than the same time last year, is maintained It is especially due to the fact that the vacancy last year generally increased for retail and residential with 1.3 and 1.7 percentage points. In the Capital Region and the Central Denmark Region, the residential vacancy in January 2020 is 2.0 and 2.4 percentage points respectively higher than in January 2019. Residential and retail leases drive the annual vacancy increase The residential vacancy has increased for the fourth quarter in a row. The last three months, it is especially the increase in the Capital Region of 0.4 percentage points and in the Region of Southern Denmark of 1.0 percentage points which has caused the level in January to be at 5.2 percent. In the two regions, the residential vacancy especially in-
Figure 1. Vacancy percentages, January 2020 8.9
Economic vacancy The economic vacancy rate indicates how much of the rent is lost as a consequence of empty leases.
8.3 7.2
7.2
7.1
The residential vacancy is still lower than the vacancy of business properties.
5.2
Office
Retail
Industry
Residential
Other commercial
Total
Change in percentage points
Change in percentage points
Change in percentage points
Change in percentage points
Change in percentage points
Change in percentage points
Quart.
An.
Quart.
An.
Quart.
An.
Quart.
An.
Quart.
An.
Quart.
An.
-0.1
0.0
-0.2
1.3
-0.4
-1.4
0.3
1.7
-0.2
0.2
0.0
0.6
The term is defined as: The sum of current annual rent in all empty leases divided by the sum of current annual rent in both rented and empty leases.
Source: The Danish Property Federation’s Market Statistics. Note.: The vacancy rates for all sectors also include actual annual rent and space for other commercial and secondary spaces.
1