European logistics and industrial property as a proportion of total transaction volumes has risen from around 10 percent to 20 percent in the past decade, according to figures from JLL. The same trend can be observed in Norway. Domestic and international figures both show an abundance of capital in search of logistics property, and transactions worth NOK 3.8 billion have been recorded in Q1 this year in the logistics segment. This is slightly higher than in the same period last year.

There is a high level of activity in the rental market along with high demand for the most central and attractive logistics hubs in the Oslo region. These hubs have very low vacancy rates and have seen a considerable rise in rents in recent times, with rents topping out at NOK 1,400 for large warehouses (>10,000 sq. m.) in the most sought-after areas. Smaller premises nearer the city centre can achieve even higher rents. The emergence of last-mile logistics in the larger cities has done much to push up rents in strategic locations, and in some parts in eastern Oslo we are witnessing higher warehouse rents than office rents. We expect the positive logistics trend to continue, thus pushing up rents even further.