Dublin,
08
December
2016
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08:00
Europe/Dublin

CBRE Reveals Leading Cities For Start-Ups And Innovation In European Tech Cities Report

London, 5th December 2016 – CBRE has today published its inaugural Understanding European Technology Clusters report, highlighting the vibrancy and rapid growth of Europe’s tech sector. The report analyses the characteristics of tech clusters and explores future opportunities among high-performing, and emerging, tech cities across Europe.

Out of 35 cities across Europe, London is ranked in first place in CBRE’s index; followed by Paris in second, Berlin in third place and Munich and Madrid completing the top five. The report also identifies the fastest-growing, emerging European tech cities of the future as Bucharest, Budapest, and Istanbul.

 

Rank

City

1

London

2

Paris

3

Berlin

4

Munich

5

Madrid

6

Dublin

7

Budapest

8

Bucharest

9

Istanbul

10

Tel Aviv

=11

Copenhagen

=11

Stockholm

13

Amsterdam

14

Moscow

15

Barcelona

16

Vienna

17

Rome

18

Milan

19

UK Thames Valley

20

Helsinki

The key findings from the report include:

  • The rate of employment growth in the tech sector over the past five years has far exceeded the rate of growth for office-based employment as a whole, and the sector is expected to continue to outperform. Berlin, Dublin, London, Munich and Vienna, as well as a group of fast-growing emerging markets including Bucharest, Budapest, and Istanbulhave seen particularly rapid growth.

  • Across a group of major European office markets, the proportion of leasing by technology companies has grown steadily from under 10% in 2008-2009 to over 16% in 2016, surpassing the contribution of the banking and finance industry during this period.

  • London, Munich and Paris dominate hi-tech patent applications to the European Patent Office.

  • Technology encompasses a diverse group of activities and some tech hubs have attracted particular sub-sectors. This is important in identifying sources of demand and other real estate opportunities. For instance, digital advertising takes its greatest share in Berlin; while IT services requirements have a greater proportion in Budapest.

Richard Holberton, Senior Director, CBRE Research said: “London and Paris are the leading European tech markets, and benefit from strong demand from a wide range of occupier types and sizes. However, our research shows that there are a wide variety of attractive tech locations: other cities that feature in the top ten include Berlin, Madrid, Dublin and Budapest. Outside this list of the top twenty markets Hamburg, Sofia and Warsaw are increasingly important European tech hubs. Cologne, Turin and Utrecht continue to see high concentrations of employment in the sector, while Lyon and Zurich are expected to see stronger growth in tech employment than some larger markets.”

Click here to read full report

Notes to editors

The European Tech Cities were ranked based on employment, growth and demand credentials, as well as their propensity to generate start-ups and new patents, their attractiveness for technology students and graduates.

 

About CBRE Group, Inc.

CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2016 revenue). The company has more than 75,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.

In Ireland, with offices in Dublin and Belfast, CBRE is the country’s largest commercial real estate services company, now employing over 165 employees and offering a full range of property services including property sales and acquisitions, leasing and management, investment, corporate services, debt advisory, project management, consultancy, business rates and compulsory purchase, valuations and research. Please visit our website at www.cbre.ie or www.cbre.ie/ni.