institutional investors slowly but steadily becoming more active.
The office investment market is currently heavily focused on the top segment, i.e. prime locations with sustainable existing properties that generate strong and, if possible, long-term cash flow. Many market participants believe that the worst is now over and are taking advantage of attractive opportunities to make new purchases. If you move into classic B locations and have properties there that are struggling with vacancies or have significant sustain- ability deficits, you will see a sharp rise in risk premiums. Investment decisions
are also often driven by considerations of conversion to residential or hotel use.
The institutional residential segment is currently attracting the most interest. Some special funds are already returning and acquiring institutional residential products. In addition to residential properties, however, the hospitality segment is also in high demand. Interest here ranges from existing hotels, serviced apartments and student residences to develop- ment opportunities for such products in attractive locations. In the retail sector, retail parks in strong conurbations with healthy and growing catchment areas are particularly in demand, while demand for large shopping centres is noticeably lower.
Overall, however, the first signs of stabilisa- tion are also emerging. What we currently view as very positive and what is a clear indication of increasing future transaction activity is the significantly stronger due diligence activity currently being carried out by institutional investors. We are seeing a significant increase in interest here, as many market participants believe that the bottom of the market is within reach and now want to take advantage of attractive opportunities for new purchases. We therefore expect the Austrian real estate investment market to stabilise further in the coming months, supported by a gradual economic recovery and increasing investor interest.
Reference projects Investment
City Tower Vienna
Gasgasse 1-7
EHL Investment Consulting brokered the “City Tower Vienna” office tower on Marxergasse in Vienna‘s 3rd district, which is 100 percent leased to the Repub- lic of Austria and houses the Wien Mitte Justice Center.
EHL Investment Consulting brokered the office building with at Gasgasse 1-7 in Vienna‘s 15th district around 7,500 sqm. It is 100 percent leased to the Re- public of Austria and houses the Fünfhaus District Court.
GLA
7,500 sqm S IMMO AG
GLA
26,600 sqm Immofinanz
Client
Client
Mariahilfer Strasse 121b
Lerchenfelder Gürtel 43
EHL Investment Consulting suc- cessfully brokered the IP TWO of- fice building in Vienna-Ottakring from S IMMO AG to 48 North Estates. The fully let property includes over 4,200 sqm of office and commercial space and 61 parking spaces.
EHL Investment Consulting bro- kered the office building with ap- proximately 4,300 sqm, of which around three quarters is office space and one quarter is retail space, which is almost entirely leased to a number of renowned companies.
GLA
4,200 sqm S IMMO AG
GLA
4,300 sqm S IMMO AG
Client
Client
Vienna | Autumn 2025
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