Savills predicts logistics boom from European data centres

Savills' latest research indicates that the expanding data centre (DC) market in Europe is projected to generate an extra 786,130 m2 of demand for logistics space over the next three years.

Kevin Mofid

In Dublin, businesses supporting the DC supply chain (e.g., storing spare parts and operational equipment) were responsible for 10% of the annual logistics take-up in 2025, amounting to 20,903 m2. Furthermore, Savills is tracking an additional 46,451 m2 under offer from sector-related tenants. Similarly, in Houston during Q4 2025, three out of the top five deals were driven by companies serving DC or energy grid demands, supporting the market's substantial DC presence. These four Houston deals constituted 11% of H2 2025 take-up, mirroring Dublin's 10% contribution from the DC sector in 2025.

Across the European market, live data centres currently consume 10,990 MW, with an additional 2,449 MW of DCs under construction. By comparing total logistics take-up against the growth in energy demand from DCs under construction (71 MW in Dublin and 250 MW in Houston), Savills determined that each DC Megawatt corresponds to a logistics take-up impact of 673-981 m2. The analysis for Houston focused only on top deals, suggesting the lower end of this range could be even higher.

Kevin Mofid, head of EMEA Logistics Research, Savills, said: "Taking an average of 827 m2 of logistics space per MW and extrapolating demand for the dominant European DC markets, Frankfurt, London, Amsterdam, Paris and Dublin (FLAPD), where 950 MW of space is currently under construction, we would estimate an additional 786,130 m2 of demand for logistics space. While this trend is in its early stages in Europe, we’re already seeing evidence of this in the UK, with DC power solutions and AI infrastructure firm AVK SEG leasing 13,006 m2 of logistics space in the North West of the UK."

Sam Quellyn Roberts, director, Global Occupier Services / EMEA Logistics Markets, Savills, said: “Across Europe, we are starting to see 3PL occupiers and specialist contractors start to take space to service the DC community. In the first instance, it is no surprise that such requirements are in the more advanced DC markets of Ireland, the UK and the Netherlands. However, as DCs continue to proliferate across Europe, we expect this trend to emerge elsewhere. Whilst occupiers are currently benefitting from generally higher vacancy rates across Europe, development pipelines are trending downwards, and as time progresses, it may become more challenging to procure these mission-critical warehouse facilities.”