In 2024, the Bucharest office market recorded the lowest level of deliveries in the last two decades, with only one major project completed – the c.16,000 sqm AFI Loft, according to Colliers’ annual report. Total leasing demand decreased by 18% year-on-year, while new demand remained at the same level as in 2023.
At the same time, an increasing number of companies are encouraging their employees to return to the office, leading to increased interest in modern, energy-efficient spaces. Thus, the buildings which are part of the top 20 in regards of the largest unoccupied spaces have a vacancy rate of 33%, while the remaining nearly 190 office projects tracked have a vacancy rate of around 7%.
New demand accounted for only a third of total leasing activity last year, a lower share than in previous years, when it consistently exceeded 40% and, in some cases, approached 50%. The IT&C sector remained the primary driver of leasing demand, contributing 37% of the total, followed by professional and business services (excluding finance) at 18%.
However, due to the limited availability of office space and the near-total absence of large projects under development, the vacancy rate is expected to continue decreasing. The only mixed-use office project set to enter the market in 2025 is One Gallery, developed by One United, offering 6,500 square meters of space, which is already fully leased.