Frankfurt am Main as an investment location for real estate
Metropolis with growth demographics, internationality and a strong tenant base
Frankfurt am Main officially recorded 776,843 main residents as at 31.12.2024 and is continuing the growth trajectory of recent years, having already registered an increase of 4,943 people in the first half of 2024. Estimates and secondary sources rank Frankfurt as the fifth largest city in Germany, with a population of around 775,000-776,000 in 2024. The city has a pronounced international character; the population growth is mainly driven by immigration and led to a new high in 2024 with growing diversity in the city districts, while Gallus and Bockenheim have the largest populations.
Accessibility, public transport expansion and hub function as a demand anchor
Frankfurt is closely linked to the region by S-Bahn/U-Bahn, streetcar and bus; the overall route plan 2025 underlines the strong hub function between the city, central station and airport. Structural capacity levers are provided by the Nordmainische S-Bahn: construction of the Frankfurt/Maintal sections is underway, including a tunnel and new underground S-Bahn station in Ostend as well as the replacement of Mainkur station with Fechenheim; the aim is, among other things, 15-minute intervals during rush hour on the Hanau-Maintal-Frankfurt route. Locally, the Local Transport Plan 2025+ pursues service and infrastructure standards, and the U5 extension to Frankfurter Berg will be reactivated with a commissioning target of 2028, which will enhance northern residential areas.
Market picture, micro-locations and strategies from core to value-add
The rental momentum in A-cities will continue in 2025; Frankfurt recorded a year-on-year increase of around 7% and a high level of asking rents for new lettings averaging around €21.40/m² in the new-build segment of the top locations. Official and sector reports show clear rent and price differentials by sub-area: premium locations close to the city center (e.g. Nordend, Riedberg) have higher rent and purchase price levels, while eastern corridors (Riederwald/Fechenheim) offer lower entry prices and value-add opportunities. Core profiles focus on refurbished properties close to public transport in city centre and campus/bank micro-locations with low fluctuation, while value-add opens up additional yield levers through energy modernization, floor plan optimization and ground floor repositioning in upgrading axes (e.g. Ostend/Fechenheim along the Nordmain S-Bahn).
Standard land values for Frankfurt am Main
The standard land values for Frankfurt am Main can be found in the standard land values for Hesse here.