Scandinavian Commercial Real Estate Market | Forecast 2031

Segments - Commercial Real Estate Market in Scandinavian Countries by Types (Offices, Retail, Industrial, Logistics, Hospitality, and Multi-family) and Geographies (Denmark, Norway, and Sweden) - Industry Analysis, Growth, Share, Size, Trends, and Forecast 2023 – 2031

Author : Raksha Sharma

Fact-checked by : Vineet Pandey

Editor : Rucha Phatak

Report Description

The commercial real estate market in Scandinavian countries was valued at USD 52.74 Billion in 2022 and is likely to reach USD 459.43 Billion by 2031, expanding at a CAGR of 27.19% during 2023 – 2031. The growth of the market is attributed to low interest rate for business coupled with strong economy growth.

Scandinavia’s strong macroeconomic environment and political stability provide safe investment opportunities for investors in the region. The uncertainty over Brexit is one of the key factors shifting investors to these nations over Europe. Over the years, there have been significant increase in the number of international investors pouring capital into commercial real estate. Foreign net investments rose mainly in Sweden, while for Norway and Denmark, it is growing at a sluggish rate.

Denmark is the country with the lowest borrowing costs owing to its unique mortgage system. Copenhagen, a city in the Denmark, offers several new large urban development areas near the city. The country offers a high yield in various retail properties located in the capital. Overall, the Scandinavian market offers remunerative opportunities opportunities for real estate investments.

Market Drivers, Restraints, Trends, and Opportunities

Rising investments into the logistics industry is expected to propel the market growth. This is owing to the rapid growth of the e-commerce activities, which in turn, has encouraged to lease warehouses.
The COVID-19 pandemic had disrupted the real estate industry across the globe. Government state bodies had announced lockdown of manufacturing facilities, retail stores, and corporates to mitigate the spread of virus. This, in turn, reduced the purchasing power, hampering the market growth.
Declining case of the COVID-19 cases owing to relaxation in stringent norms is expected to stimulate the growth of the market.
Growing foreign investments is expected to further create opportunities for the market growth.

Scope of the Report

The report on the commercial real estate market in Scandinavian countries includes an assessment of the market, trends, segments and regional markets. Overview and dynamics have also been included in the report.

Attributes	Details
Report Title	Commercial Real Estate Market in Scandinavian Countries - Industry Analysis, Growth, Share, Size, Trends, and Forecast
Base Year	2022
Historic Data	2016–2021
Forecast Period	2023–2031
Segmentation	Types (Offices, Retail, Industrial, Logistics, Hospitality, and Multi-family)
Geographical Scope	Denmark, Norway, and Sweden
Report Coverage	Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered in the Report	Vasakronan AB, Jeudan A/S, Citycon, NREP, BPT Group

Commercial Real Estate Market in Scandinavian Countries Segment Insights

Offices segment to account a large market share

Based on types, the market is segregated as office, retail, industrial, logistics, hospitality, and multi-family. The office segment is projected to account for a large market share during the forecast period. Office buildings dominated with a total market share of around 40% in 2020. Increasing number of companies entering the Scandinavian countries to expand their market share has grown the development of commercial real-estate.

On the other hand, the logistics segment accounted for more than 20% of the market share, while the retail segment contributed 16% of the market share in the same year. The logistics segment is anticipated to account for a significant market share during the forecast period. Rising e-commerce activities owing to increasing number of e-commerce companies and rising consumer preference to buy products online. This, in turn, is driving the segment growth.

The market in Denmark to grow at a sustainable CAGR

On the basis of geographies, the commercial real estate market in Scandinavian countries is categorized as Denmark, Norway, and Sweden. The market in Denmark is anticipated to grow at a sustainable rate in the coming years. Rapid urbanization and industrialization is expected to drive the market growth in the country. Moreover, increasing investment in Denmark owing to strong economic growth amidst the COVID-19 pandemic is propelling the growth of the market in the country. On the other hand, Sweden is expected to hold a considerable market share during the forecast period. Rising tourism and government initiatives to encourage foreign investors to establish their hotels, corporate offices, and manufacturing facilities is driving the growth of the market in the country.

Segments

Type

Offices
Retail
Industrial
Logistics
Hospitality
Multi-family

Geographies

Denmark
Norway
Sweden

Key players

Vasakronan AB,
Jeudan A/S
Citycon
NREP
BPT Group

Competitive Landscape

Some of the major players in the market are Vasakronan AB, Jeudan A/S, Citycon, NREP, BPT Group. The commercial real estate market in Scandinavia is fragmented and competitive.

Major industry players are engaging in partnerships with local construction developers, and are also focusing on acquisitions to expand their market share.

Commercial Real Estate Market Key Players

Table Of Content

1. Executive Summary
2. Assumptions and Acronyms Used
3. Research Methodology
4. Commercial Real Estate Market Overview
  4.1. Introduction
     4.1.1. Market Taxonomy
     4.1.2. Market Definition
  4.2. Macro-Economic Factors
     4.2.1. Industry Outlook
  4.3. Commercial Real Estate Market Dynamics
     4.3.1. Market Drivers
     4.3.2. Market Restraints
     4.3.3. Opportunity
     4.3.4. Market Trends
  4.4. Commercial Real Estate Market - Supply Chain
  4.5. Global Commercial Real Estate Market Forecast
     4.5.1. Commercial Real Estate Market Size (US$ Mn) and Y-o-Y Growth
     4.5.2. Commercial Real Estate Market Size (000â€™ Units) and Y-o-Y Growth
     4.5.3. Commercial Real Estate Market Absolute $ Opportunity
5. Global Commercial Real Estate Market Analysis and Forecast by Types
  5.1. Market Trends
  5.2. Introduction
     5.2.1. Basis Point Share (BPS) Analysis by Types
     5.2.2. Y-o-Y Growth Projections by Types
  5.3. Commercial Real Estate Market Size and Volume Forecast by Types
     5.3.1. Offices
     5.3.2. Retail
     5.3.3. Industrial
     5.3.4. Logistics
     5.3.5. Hospitality
     5.3.6. Multi-family
  5.4. Absolute $ Opportunity Assessment by Types
  5.5. Market Attractiveness/Growth Potential Analysis by Types
6. Global Commercial Real Estate Market Analysis and Forecast by Region
  6.1. Market Trends
  6.2. Introduction
     6.2.1. Basis Point Share (BPS) Analysis by Region
     6.2.2. Y-o-Y Growth Projections by Region
  6.3. Commercial Real Estate Market Size and Volume Forecast by Region
     6.3.1. North America
     6.3.2. Latin America
     6.3.3. Europe
     6.3.4. Asia Pacific
     6.3.5. Middle East and Africa (MEA)
  6.4. Absolute $ Opportunity Assessment by Region
  6.5. Market Attractiveness/Growth Potential Analysis by Region
  6.6. Global Commercial Real Estate Demand Share Forecast, 2019-2026
7. North America Commercial Real Estate Market Analysis and Forecast
  7.1. Introduction
     7.1.1. Basis Point Share (BPS) Analysis by Country
     7.1.2. Y-o-Y Growth Projections by Country
  7.2. North America Commercial Real Estate Market Size and Volume Forecast by Country
     7.2.1. U.S.
     7.2.2. Canada
  7.3. Absolute $ Opportunity Assessment by Country
  7.4. North America Commercial Real Estate Market Size and Volume Forecast by Types
     7.4.1. Offices
     7.4.2. Retail
     7.4.3. Industrial
     7.4.4. Logistics
     7.4.5. Hospitality
     7.4.6. Multi-family
  7.5. Basis Point Share (BPS) Analysis by Types
  7.6. Y-o-Y Growth Projections by Types
  7.7. Market Attractiveness/Growth Potential Analysis
     7.7.1. By Country
     7.7.2. By Product Type
     7.7.3. By Application
  7.8. North America Commercial Real Estate Demand Share Forecast, 2019-2026
8. Latin America Commercial Real Estate Market Analysis and Forecast
  8.1. Introduction
     8.1.1. Basis Point Share (BPS) Analysis by Country
     8.1.2. Y-o-Y Growth Projections by Country
     8.1.3. Latin America Average Pricing Analysis
  8.2. Latin America Commercial Real Estate Market Size and Volume Forecast by Country
      8.2.1. Brazil
      8.2.2. Mexico
      8.2.3. Rest of Latin America
   8.3. Absolute $ Opportunity Assessment by Country
  8.4. Latin America Commercial Real Estate Market Size and Volume Forecast by Types
     8.4.1. Offices
     8.4.2. Retail
     8.4.3. Industrial
     8.4.4. Logistics
     8.4.5. Hospitality
     8.4.6. Multi-family
  8.5. Basis Point Share (BPS) Analysis by Types
  8.6. Y-o-Y Growth Projections by Types
  8.7. Market Attractiveness/Growth Potential Analysis
     8.7.1. By Country
     8.7.2. By Product Type
     8.7.3. By Application
  8.8. Latin America Commercial Real Estate Demand Share Forecast, 2019-2026
9. Europe Commercial Real Estate Market Analysis and Forecast
  9.1. Introduction
     9.1.1. Basis Point Share (BPS) Analysis by Country
     9.1.2. Y-o-Y Growth Projections by Country
     9.1.3. Europe Average Pricing Analysis
  9.2. Europe Commercial Real Estate Market Size and Volume Forecast by Country
     9.2.1. Germany
     9.2.2. France
     9.2.3. Italy
     9.2.4. U.K.
     9.2.5. Spain
     9.2.6. Russia
     9.2.7. Rest of Europe
  9.3. Absolute $ Opportunity Assessment by Country
  9.4. Europe Commercial Real Estate Market Size and Volume Forecast by Types
     9.4.1. Offices
     9.4.2. Retail
     9.4.3. Industrial
     9.4.4. Logistics
     9.4.5. Hospitality
     9.4.6. Multi-family
  9.5. Basis Point Share (BPS) Analysis by Types
  9.6. Y-o-Y Growth Projections by Types
  9.7. Market Attractiveness/Growth Potential Analysis
     9.7.1. By Country
     9.7.2. By Product Type
     9.7.3. By Application
  9.8. Europe Commercial Real Estate Demand Share Forecast, 2019-2026
10. Asia Pacific Commercial Real Estate Market Analysis and Forecast
  10.1. Introduction
     10.1.1. Basis Point Share (BPS) Analysis by Country
     10.1.2. Y-o-Y Growth Projections by Country
     10.1.3. Asia Pacific Average Pricing Analysis
  10.2. Asia Pacific Commercial Real Estate Market Size and Volume Forecast by Country
     10.2.1. China
     10.2.2. Japan
     10.2.3. South Korea
     10.2.4. India
     10.2.5. Australia
     10.2.6. Rest of Asia Pacific (APAC)
  10.3. Absolute $ Opportunity Assessment by Country
  10.4. Asia Pacific Commercial Real Estate Market Size and Volume Forecast by Types
     10.4.1. Offices
     10.4.2. Retail
     10.4.3. Industrial
     10.4.4. Logistics
     10.4.5. Hospitality
     10.4.6. Multi-family
  10.5. Basis Point Share (BPS) Analysis by Types
  10.6. Y-o-Y Growth Projections by Types
  10.7. Market Attractiveness/Growth Potential Analysis
     10.7.1. By Country
     10.7.2. By Product Type
     10.7.3. By Application
  10.8. Asia Pacific Commercial Real Estate Demand Share Forecast, 2019-2026
11. Middle East & Africa Commercial Real Estate Market Analysis and Forecast
  11.1. Introduction
     11.1.1. Basis Point Share (BPS) Analysis by Country
     11.1.2. Y-o-Y Growth Projections by Country
     11.1.3. Middle East & Africa Average Pricing Analysis
  11.2. Middle East & Africa Commercial Real Estate Market Size and Volume Forecast by Country
     11.2.1. Saudi Arabia
     11.2.2. South Africa
     11.2.3. UAE
     11.2.4. Rest of Middle East & Africa (MEA)
  11.3. Absolute $ Opportunity Assessment by Country
  11.4. Middle East & Africa Commercial Real Estate Market Size and Volume Forecast by Types
     11.4.1. Offices
     11.4.2. Retail
     11.4.3. Industrial
     11.4.4. Logistics
     11.4.5. Hospitality
     11.4.6. Multi-family
  11.5. Basis Point Share (BPS) Analysis by Types
  11.6. Y-o-Y Growth Projections by Types
  11.7. Market Attractiveness/Growth Potential Analysis
     11.7.1. By Country
     11.7.2. By Product Type
     11.7.3. By Application
  11.8. Middle East & Africa Commercial Real Estate Demand Share Forecast, 2019-2026
12. Competition Landscape
  12.1. Global Commercial Real Estate Market: Market Share Analysis
  12.2. Commercial Real Estate Distributors and Customers
  12.3. Commercial Real Estate Market: Competitive Dashboard
  12.4. Company Profiles (Details: Overview, Financials, Developments, Strategy)
     12.4.1. Vasakronan AB,
     12.4.2. Jeudan A/S
     12.4.3. Citycon
     12.4.4. NREP
     12.4.5. BPT Group