October 2019
The Danish Property Federation’s market statistics – vacancy • Increase in vacancy in all sectors • The retail vacancy increases with between 2 and 4 percentage points in a year in the largest cities • Industry has a vacancy of over 11 percent • More new residences, however, results in higher residential vacancy • The residential vacancy has increased with 0.7 percentage points to 4.9 percent
Increasing vacancy in all sectors The economic vacancy rate increases with 0.5 percentage points to 7.5 percent. The vacancy has been increasing the last year and it was 1.0 percentage points lower at the same time last year. The relatively significant increase is a consequence of increase in all sectors this quarter. Retail still has a lower vacancy than e.g. office and industry but since January 2019, quarterly increases has raised the vacancy to 7.4 percent. It means that today, retail is somewhat above the long-term average of 6.8 percent. The increase in retail is partly due to more vacancy in the Capital Region outside Central Copenhagen and partly that Aarhus and the Triangle Area experience a lack of rental.
Higher vacancy in residential and retail leases makes its mark.
Higher retail vacancy in the country’s largest cities.
If you compare with the same time last year, the increasing vacancy tendency for retail is even clearer in the cities. Here, there are increases of between 2 and 4 percentage points in the country’s four largest cities.
Figure 1. Economic vacancy, October 2019
Economic vacancy
11.5
The economic vacancy rate indicates how much of the rent is lost as a consequence of empty leases.
9.2 7.4
7.5
7.2 4.9
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.
0.2
0.6
0.6
1.6
0.9
3.8
0.47
1.1
0.8
0.4
0.5
1.0
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