Demand slowdown, few deliveries, but signs of recovery on the Bucharest office market

A gross take-up of 51,300 sq. m was registered in Bucharest in Q1 2025, reflecting a y-o-y decrease of 44%, but demand is forecasted to accelerate starting from H2, when a series of major deals are due to be signed. The net take-up had a share of 64% in the Q1 demand, the highest percentage since Q1 2022, according to Cushman & Wakefield Echinox data.  

The vacancy rate in Bucharest office market continued its downward trend, reaching 13.6% (the lowest level since Q2 2021). This indicator is expected to further decrease, as no large or medium – sized office building is due for completion in 2025.

Overall, the under construction pipeline in Bucharest is relatively low (132,300 sq. m GLA) and most projects are slated for completion in 2026 and 2027, representing 11% of the area under construction in CEE capitals, totaling approximately 1,190,000 sq. m.

The prime rents Bucharest remained stable in Q1, between €20.00 – 21.00/ sq. m/ month in CBD, while the benchmarks for other submarkets ranged between €15.00 – 18.00/ sq. m/ month and €9.00 – 13.50/ sq. m/ month in central/ semi – central and peripheral locations.

Bucharest offices remain among the cheapest in the region, with only Sofia and Bratislava recording lower levels (€19/ sq. m/ month and €20/ sq. m/ month, respectively). Prague is the most expensive market in the region, with a headline rent of €30/ sq. m/ month, followed by Warsaw and Budapest, each with €25/ sq. m/ month.

SEE ALSO | Portland Trust leases 30,000 square meters to Ubisoft in J8 Office Park

- Advertisment -

Latest

KFC generated sales of RON 259.8 million in Q1, 3.4% below the level of Q1 2024

KFC Romania generated sales of RON 259.8 million in Q1, 3.4% below the level of Q1 2024, due to...

KIKO MILANO expands its Romanian network with new pop-up store at AFI Cotroceni

KIKO MILANO, the No.1 makeup brand in Italy and part of the Fais Group portfolio, continues its expansion in...

Hagag building in Bucharest Old Town to become the first Radisson RED hotel in Romania

Real estate investor-developer Hagag Development Europe selected Radisson Hotel Group as operator for its first hotel development in Bucharest,...