Germany: Brownfield developments dominate new logistics construction in 2024

The trend toward brownfield developments in logistics real estate continues its strong upward trajectory, with over 40 percent of new logistics projects in 2024 taking place on repurposed sites. According to an analysis by logistics real estate consultant Logivest, this accounts for approximately 1.9 million square meters of new-build logistics space, highlighting a significant shift in industry preference since 2022.

The German government's land consumption targets, aiming for less than 30 hectares per day by 2030 and net zero by 2050, are driving the growing reliance on brownfield projects. In 2022, greenfield developments outpaced brownfield projects by a ratio of 2:1. By 2023, brownfield developments had risen to 30 percent of new builds, and in 2024, they reached 40 percent. Notably, in five of the top 24 logistics regions, over 80 percent of new logistics properties were developed on brownfield sites.

Major Brownfield Projects Transforming Industrial Landscapes

One of the largest logistics developments in 2024 is the Mercedes-Benz logistics center, spanning approximately 130,000 square meters, which Panattoni is constructing in Bischweier on a former chipboard factory site. The Duisburg/Niederrhein region leads the brownfield transformation, with 90 percent of its new logistics projects being developed on repurposed industrial sites. This shift supports structural economic change while optimizing logistics infrastructure and workforce availability.

‘In regions with a strong industrial tradition, brownfield sites are increasingly dominating new logistics construction,’ said Kuno Neumeier, CEO of Logivest Group. ‘These locations not only offer prime infrastructure but also access to a skilled workforce.’

Future Outlook: Brownfield Developments to Shape Logistics Real Estate

Projections for 2025 and 2026 reinforce the critical role of brownfield developments in logistics real estate. An estimated 5.4 million square meters of new logistics space could be developed on brownfield sites, maintaining their 40 percent share of total new-build volume. Among the largest planned projects is a 160,000-square-meter business park by developer CTP in Mülheim an der Ruhr, repurposing a former rolling mill site. Additionally, Frasers Group aims to build a 100,000-square-meter distribution center on the former Bitburg Airport site.

‘Space constraints, efficient land use, economic transformation, and sustainability are all key drivers of the brownfield redevelopment trend,’ Neumeier concluded. With the logistics industry facing increasing demand for sustainable and strategically located facilities, brownfield developments are set to play an even greater role in the sector’s future.