The real-estate climate keeps cooling – and yet international retail brands are pushing into Germany’s prime high streets harder than they have in years. In the first quarter of 2026, their share of space requirements reached a record 56% (source: JLL). While the overall mood stays grey, the market for prime high-street space is moving the other way. Anyone letting space or searching for locations should understand who is arriving – and why now.
Key takeaways
- International retail brands account for a record 56% of space requirements in Germany’s prime locations (Q1 2026, JLL).
- New entrants include Victoria’s Secret, Alo Yoga, Lefties (Inditex), Moida K-Beauty, Lager 157 and Skins – with fashion, beauty and sport leading.
- Demand concentrates in the top metros: 49% of deals went to the ten largest cities – the highest share since Q3 2023.
- For owners, curating the tenant mix becomes the value driver: prime locations remain highly attractive to global players.
Record: 56% of space requirements come from international brands
The share of international retail brands looking to lease new space in Germany hit a peak of 56% in the first quarter of 2026 (source: JLL). This indicates that German inner-city shopping locations remain undiminished in their appeal to global players. The number of recorded deals by international labels in the top markets already sits above the ten-year average (source: BNP Paribas Real Estate).
That is remarkable against a backdrop of subdued overall demand: Germany’s Deutsche Hypo real-estate climate index fell to 79.4 points in June 2026 (−19.3% year on year). That international brands are nonetheless expanding shows these are strategic lettings – long-term location decisions taken independently of the short-term cycle. According to BNP Paribas Real Estate, 35% of contracts each went to international brands and to Germany’s A-cities.
These brands are expanding in Germany in 2026
The list of new and expanding international labels is long. The leading sectors are fashion, beauty and sport (source: JLL/BNPPRE, Q1 2026):
- Victoria’s Secret – lingerie brand (new entry)
- Moida K-Beauty – Korean cosmetics chain
- Alo Yoga – sportswear
- Lefties – fashion from the Inditex family
- Coolblue – Dutch electronics retailer
- Lager 157 – Swedish fashion chain
- Skins – perfumery chain
Established brands such as Jack & Jones and Primark also opened new stores. Apparel retail defended its top spot with 28,700 sqm, or a 28% share of space turnover, followed by gastronomy/food at 21% – where Edeka, Goldies and “60 seconds to napoli” were among the most expansive concepts.
Where demand concentrates: metros and A-cities
The shift is unmistakable: 49% of lettings in the first quarter of 2026 went to Germany’s ten largest cities – the highest share since the third quarter of 2023 (source: JLL). Berlin led with 23,700 sqm, up 91% on the prior-year quarter, followed at a distance by Düsseldorf (7,500 sqm, +47%) and Hannover (4,700 sqm, +62%).
For global brands, the A-cities are both stage and proof point: a flagship in the best location is brand statement and footfall guarantee in one. That is exactly why demand for the few prime units stays high even as the broader market mood is muted.
What this means for owners and retailers
For owners, the message is clear: genuine prime locations stay liquid and magnetic for international tenants even in a cooling market. The decisive lever is no longer location alone but the curated tenant mix – international flagship brands lift footfall, image and therefore rental value. Simply filling space is not enough; it is about the right brand in the right place.
For retailers and expanding brands, the reverse holds: competition for the best units is intensifying. International expanders act fast and strategically – whoever wants a prime location secures it early. In our observation, it is increasingly not the rent alone that decides, but access to the right space at the right moment.
Frequently asked questions
Which international brands are expanding in Germany in 2026?
New and expanding international brands include Victoria’s Secret, Moida K-Beauty, Alo Yoga, Lefties (Inditex), Coolblue, Lager 157 and Skins; established brands such as Jack & Jones and Primark also opened new stores (source: JLL/BNPPRE, Q1 2026).
What share of space requirements comes from international brands?
In the first quarter of 2026, international retail brands accounted for a record 56% of space requirements in Germany’s prime locations (source: JLL).
Why do Germany’s prime locations remain attractive to international brands?
The A-cities offer high footfall, an international audience and representative flagship locations. Even with subdued overall demand, strategic, long-term lettings are completed here – 49% of deals in 2026 went to the ten largest cities.
Which sectors are driving the expansion?
The leading sectors are fashion, beauty and sport. Apparel retail leads with a 28% share of space turnover, followed by a highly expansive gastronomy/food segment at 21% (source: JLL, Q1 2026).
