So what is that raising its head?
Among architects the high-rise is still considered a built statement. It has to be different, be iconic, and not just on account of its height. And not only the architects want this, but so do the project developers and real-estate investors; after all, the investment has to pay off and a prime address be created.
Over the next five years, more than a dozen high-rises are scheduled to be built in Frankfurt or work is already underway. They include a few residential towers, but the majority of the built areas will be offices. And it is not as though there is too little vacant office space in Frankfurt! Although vacancy levels have dropped in recent years, in 2016 11 percent of the office space in the city was not in use. Making Frankfurt, so the property consultants at Collier, the only large German city with double-digit office vacancy levels. Despite the glut of offers, landlords can still set very high rentals per square meter: In Frankfurt, the average paid per square meter is 20 Euros – and in the high-end segment as much as 40 Euros.
The pending Brexit is a not inconsiderable factor driving the construction of new office spaces. According to Frankfurter Allgemeine Zeitung, major international banks are now fleshing out their plans for Frankfurt. For example, Morgan Stanley has already reserved floor space in BIG’s new “Omnitower”, with the plan being to double the payroll from 200 at present to 400. And since there’s that iron rule in the banking industry, and it seems to be one that still holds, that two big banks never move into the same building, the need for office space in different buildings looks set to rise. And over the next five years they’ll be spoiled for choice. (as)