European logistics market continues to slow down - WDP

Belgian logistics real estate specialist Warehouses De Pauw (WDP) reports that the European logistics market, particularly for large units, continues to slow down. 

WDP Bornem, Rijksweg 19

Despite this, WDP is maintaining its performance and reaffirms its financial targets for 2025 and 2027.
The company confirms an orderly and gradual slowdown in the European logistics market, with stable demand for smaller units (10,000 m2) but moderate demand for larger spaces. WDP does not expect a quick recovery in the larger unit segment, and while vacancy rates are slowly rising across Europe, WDP's high occupancy in Q3 2025 indicates no immediate threat. Although the market remains well-supplied with warehouses, new construction is proceeding at a slower pace.
Operationally, WDP achieved 17% topline growth, with 2% being organic and the rest from acquisitions. Their project pipeline has decreased from €1.1 bn to €700 mln after €500 mln in deliveries, which is sufficient to meet their 2027 guidance. The company's growth potential beyond 2027 remains a point of interest. The tenant retention rate remained stable in Q3 2025, with a positive outlook for Q4 2025.
Financially, WDP's average debt maturity is relatively short at four years, despite a recent €500 mln bond issue. The bond market remains favourable, and liquidity is not an issue. 
Given the slowing market and the expectation that 2025 and 2027 targets will be met without significant overperformance, WDP does not anticipate a strong short-term share price momentum.