- High level of new leases and lease renewals of more than 90 000 m2
- Development projects JED and Stücki Park on track with strong pre-lettings
Swiss Prime Site Immobilien has achieved high letting performance in the first half of 2022. The company has been able to newly lease and renew leases for over 90 000 m2 in its portfolio across all regions [H1 2021: 47 000 m2]. The market conditions and associated demand for commercial properties have been consistently positive, which has resulted in high numbers of leases being taken out across all categories of use. In Switzerland, economic development indicators are still positive despite the general global economic slowdown. One example of this trend is the creation of 105 000 (+2.6%) new service sector jobs in the last twelve months. Another indicator of the Swiss labour market’s robustness are its 114 000 open jobs.
High level of new leases and lease renewals of more than 90 000 m2
This year’s lease renewals and new leases have been clearly demonstrating that Swiss Prime Site Immobilien’s portfolio, which focusses on prime locations, continues to be highly attractive. The increase in demand has been particularly noticeable in Basel, where the technology company Adobe, chemicals provider Arxada and the Swiss Post have all leased substantial office space in the newly positioned Peter-Merian House, for example. The Messeturm has also benefited from the uplift in the Basel office market and, of a total of 30, has only two vacant storeys left. Ariv has furthermore set up its first Swiss Coliving Location in the former Stücki Hotel in Basel. The Zurich region has also continued to be highly dynamic and attractive and has seen more leases being taken out in the West-Log, MFO Building and the Prime Tower. Demand for commercial spaces has also been robust across the Geneva region. Here, BSE Ecole SA, for example, took out a new lease for part of the Patio Plaza, which is located between the city centre and airport.
Development projects JED and Stücki Park on track with strong pre-lettings
The two new development projects JED in Schlieren and Stücki Park in Basel, which are still under construction, have also attracted a lot of interest. A pre-letting rate of around 90% is expected for the above-mentioned projects by the end of the year. Martin Kaleja, CEO Swiss Prime Site Immobilien, says: «Our portfolio’s strong new-lease and lease-renewal performance and the fact that the Swiss economy is continuing its positive trend is making us optimistic in terms of low vacancy rates and positive rental income for the rest of the year.»
Swiss Prime Site will publish a detailed half-year report for 2022 on Thursday, 25 August 2022.