Prologis Study
Automation Is Driving Up Demand for Logistics Space
Warehouse automation is growing significantly in Europe. According to a study by Prologis, 50 percent of modern logistics space is expected to be automated by 2035.
Automation technologies are driving demand for modern logistics space in Europe. This is shown by a recent study by Prologis. According to the study, in 2025, about 30 percent of modern logistics space was partially or fully automated—five years ago, that figure was still between 20 and 25 percent. By 2035, that figure could rise to 50 percent.
Above all, flexible technologies such as autonomous mobile robots and driverless transport vehicles are becoming increasingly prevalent because they can be easily integrated into existing warehouses. Fully automated warehousing and order-picking systems, on the other hand, remain the exception, accounting for only three to five percent of the market.
The study also highlights the economic benefits of properties that can be automated: lease renewals occur more frequently, leases run an average of one year longer, and rents are about 10 percent higher than those of comparable non-automated properties.
This issue is becoming increasingly important, particularly in Germany. In Prologis’ portfolio, the vacancy rate is just over two percent, and logistics space available on short notice is scarce. “Especially in markets like Germany, where modern logistics space is in high demand and skilled workers remain scarce, a building’s suitability for automation is becoming a key location factor,” says Philipp Feige, Vice President and Head of Capital Deployment Germany at Prologis. “Our study shows that automation increases—rather than decreases—the demand for modern logistics space in the right locations.”
The Prologis Supply Chain Outlook 2026 also underscores this trend: 42 percent of German executives list automation and robotics among their top investment priorities for 2026.
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