Jena office market report 2025

Despite the tense economic environment, Jena continues to position itself as a dynamic C-location with a stable, technology-orientated economic structure. Start-ups, research institutions and internationally active companies continue to demand office space and are keeping the office property market stable. However, there is a lack of construction projects in the SME sector.

In 2024, economic uncertainty, rising interest rates, restrictive financing and structural changes such as the trend towards working from home weighed on the market environment. These factors slowed take-up, new builds and transactions.

The supply of space increased due to selective completions. At the same time, the stock of space fell in individual sub-areas because office space was converted into residential space, for example. Rent levels remained stable and rose slightly in sought-after locations. The higher construction costs were passed on to tenants. In 2025, a stable domestic economy and public investment could boost local demand again. This will create opportunities for a slight increase in take-up and rents.

(as at: September 2024)

In 2024, the office stock only grew by around 2,000 m²; in some zones, it even shrank due to conversions. The vacancy rate rose by 3,300 m² to 2.4 per cent. There are individual properties with base vacancies, particularly in peripheral, non-integrated locations.

751,230 m² of office space

In the year under review, office space in Jena totalled 751,230 m². The supply of space increased due to individual completions; at the same time, the stock in individual sub-areas fell because office space was converted into residential space, for example.

Take-up in 2024 only reached 9,030 m² and was therefore around 1,900 m² below the previous year. The average contract size fell to 290 m² – a new low. Most deals were concentrated in the Campus-Achse, North and Göschwitz office market zones, while there were no large-volume contracts in the City and Göschwitz.

Demand is clearly focussed on modern, ESG-compliant space in integrated locations. Unrenovated properties in peripheral locations are becoming noticeably less attractive. The market is selective: occupiers are acting strategically cautiously and reducing space through hybrid forms of work.

Vacancy rate rises to 2.4 per cent

The vacancy rate in Jena rose by 0.4 percentage points or around 3,300 m² for the third year in a row in 2024. Overall, the vacancy rate remains at a low level and is still below the required supply reserve of 3 per cent. The more peripheral the location, the greater the risk of long-term vacancies.

Rents rise slightly

The average rent for office properties in Jena rose slightly in 2024 and stood at € 11.30/m². The range narrowed slightly and was between €5.00/m² and €20.00/m². The lowest rent rose by €1.00/m² to €5.00/m². The highest rent fell by €5.00/m² to €20.00/m².

Maximum rents of up to €20.00/m² can only be realised in Jena for space that is in a prime micro-location, has modern, sustainable fixtures and fittings and a shorter lease term that meets tenants’ needs.

Rising financing costs, higher yield requirements and cautious investment behaviour are noticeably slowing market momentum in 2024. The transaction volume only reached 3.3 million euros in the period under review. As very few sales took place, the current net initial yield cannot be reliably estimated.

The volume of completions doubled to 4,010 m² in 2024, but remained below the long-term average. Individual projects and conversions were the main drivers of this growth, while new builds made little progress and refurbishments dominated.

At 65,440 m², the area under construction reached an all-time high – driven by major projects such as the ZEISS high-tech site in Jena, the Inselplatz campus and the “lab2fab” start-up centre. However, there is a lack of medium-sized construction projects.

The pipeline area shrank by 8,480 m² to 37,370 m², but still comprises 14 projects – a remarkable figure given the high interest rates.

High construction costs, uncertain demand, restrictive financing and a lack of building land are hampering the market. Development is increasingly shifting towards existing properties and conversions. Speculative new builds are becoming the exception.

The guidelines for office market reporting published by the Gesellschaft für immobilienwirtschaftliche Forschung e.V. (gif for short) serve as the basis for the respective reports. The Jena Office Market Report is compiled jointly by the Jena Economic Development Corporation and the “Jena Office Market” working group.

Stable but demanding

Jena once again asserts itself as a stable office location in 2024. Major research-related projects and a technology-orientated user base are supporting the development. Although take-up is falling and construction activity remains subdued, demand for high-quality space is continuing.

In a nationwide comparison, where high vacancy rates and cancellations are weighing on the market, Jena is showing more resilience. Nevertheless, the current conditions are also dampening market activity here. Modern, sustainable space in integrated locations remains in particular demand.