Cologne is one of the most important commercial locations in Germany and remains in a phase of extremely strong growth, according to local estate agent Engel & Völkers.

“The increasing attractiveness of the city, coupled with the limited number of homes on the market, is resulting in sustained and stable price rises in all locations around Cologne. Even the high level of new construction activities cannot meet the demand for living space,” said Florian Freytag-Gross, managing partner at Engel & Völkers Germany.

Compared to other major German cities, prices in Cologne were long considered moderate, but have since been playing catch-up. The average asking price for detached and semi-detached properties Cologne in Q1 2021 was €806,000. This marks a significant increase of 14.7% over the same period last year. In the segment for freehold apartments, the average asking price was €4,600sqm, up by 13% compared to Q1 2020.

The Cologne districts of Lindenthal and Rodenkirchen are in particularly high demand, according to the report, with the most expensive detached properties selling for around €10m in 2020 and the most expensive apartment prices reaching €16,000sqm.