Bucharest Office Market Snapshot in the Third Quarter of 2022

The third trimester of 2022 in the office market in Bucharest is distinctive by the large proportion of lease contract renewals in current spaces, adding up to almost half of the total leased area.

Professional Services was the most active industry in the 3rd quarter, with 37% of the transactions, after the first half of the year was dominated by the IT&C industry, with 23%.

Download the ESOP study Office Market Snapshot_Q3 2022

OFFICE SPACE DELIVERIES

Up to now in 2022, within the first 9 months, there were delivered over 109,000 sqm in 8 buildings, namely 37% fewer office spaces than the prior year. In terms of location, more than half of the new office spaces delivered till now in 2022 were situated in the Central-West area, followed by the Central-North area, with 25% of the spaces.

Within the third quarter of 2022, only one office building was completed in Bucharest. The building, named H Tudor Arghezi 21, has almost 7,000sqm and is a complete renovation and reconversion project in the downtown area by HAGAG Development Europe. Having an exceptional position, right next to Universitatii Square, it offers modernly designed office spaces.

Main Projects Delivered within the first 9 months of 2022, by AREA

Area Project Name Delivery Surface (sqm) Location
CENTRAL-NORTH @EXPO – Building B1 Q1 2022 11,000 Piata Presei
 CENTRAL-NORTH @EXPO – Building B2 Q1 2022 10,000 Piata Presei
DOWNTOWN Tandem Q1 2022 21,000 Universitate
CENTRAL-WEST Sema Parc – London Q1 2022 21,500 Splaiul Independentei
CENTRAL-WEST Sema Parc – Oslo Q1 2022 10,000 Splaiul Independentei
CENTRAL-WEST Afi Tech Park 2 Q2 2022 26,000 Razoare
DOWNTOWN H Tudor Arghezi Q3 2022 6,800 Universitate

OCCUPIER FOCUS

In Q3 2022 in Bucharest, a total area of 68,257sqm of modern office spaces was rented, out of which 45% was represented by the extension of the lease contracts in the current premises and 55% by the rent of new surfaces (newly contracted offices and expansions in existing ones).

The most sought-after area was the Center-West, with 53% of the companies’ preferences while relocating, followed by the Central-North area with 31%.

The most active tenants were companies in the Professional Services sector with 37% of the newly leased area, followed by companies in the IT & Communication sector, with 31% of the leased area.

Main Transactions in Q3 2022

OUTLOOK

By December 31, 2022, 3 new office buildings are expected to be completed, with a total surface of over. 43,000 sqm.

There is still a significant number of employees preferring to work from home, especially in IT & C companies. Yet transaction level is expected to gain momentum, as the last quarter of the year is historically speaking an active one.

Also, more companies implement various manners of hybrid working systems, implying a return to the office on average 2-3 days per week.

The map shows the rent levels in the main business areas. During the year, some adjustments might take place due to the negotiations between the tenants and the landlords.

ESOP Partners in Time

ESOP’s portfolio includes, in addition to office buildings for rent in Bucharest, office spaces for sale in Bucharest, industrial parks and warehouses for rent, as well as office spaces for rent in the main cities of the country.

If you would like more information, please contact the ESOP team by filling this brief form, or by phone (+4) 0723.26.61.97 or (+4) 021.528.04.40. We’ll promptly answer your inquiry!

 


Mirela Raicu

Founder Partner of ESOP Consulting CORFAC International, coordinator of the Corporate Office Spaces division, with 18 years of experience in real estate consulting and entrepreneurship.

Postari similare

The Office Market in Bucharest in the 1st Quarter of 2024


THE TRADING LEVEL IN Q1 2024 In Q1 2024, a total area of 87,316 sqm of modern office spaces were rented in Bucharest, of which approx. 52,000 sqm, representing 60%, were Renewal & Renegotiation transactions in the current premises, while 35,000 sqm, meaning 40% were (Pre) Lease & Expansion transactions. The most sought-after area of […]


Read more

The Office Market in Bucharest at the Beginning of 2024


2023 OVERVIEW 2023 brought deliveries of 130,700 sqm to the office market, which represented a 22% increase compared to the previous year. At the same time, however, compared to the average deliveries in the last 5 years (228,000 sqm), 2023 recorded a decrease of 43%. ✓ 68% of the 2023 deliveries took place in the […]


Read more

The Bucharest Office Market in Q3 2023


In Q3 2023, the total volume of transactions on the Bucharest office market reached 165,480 sqm, close to the total for the first semester of the year. The most sought-after area in Q3 2023 was the Central-South one, which though only 5 transactions concentrated 37% of the volume of (Pre) Lease & Expansions The IT&C […]


Read more