The total volume of leasing transactions in Bucharest is estimated to reach 240,000 – 260,000 square meters by the end of this year, the highest level in the last five years, according to CBRE’s Bucharest Office MarketView Report Q2 2013, a press release informs. Compared to 2012, a 10 percent increase has been registered.
The total leasing activity registered in the second quarter of 2013 in Bucharest was 68,800 sq m, up 13 percent from the previous quarter. The modern office stock has reached 2.23 million sq m, following the delivery of two buildings during April – June. By the end of the year, other 55,800 sq m, consisting in three new office buildings, and 30,500 following two conversions will be delivered. „There are only 48,700 sq m under construction to be delivered in 2014, which could represent the lowest level of deliveries from 2000 until now. Also, other 25,100 sq m under construction are expected to be completed in the first quarter of 2015, the most important delivery being the first phase of Green Court Bucharest, developed by Skanska. Out of the total office building area under construction, 30 percent is located in the West area of the Capital,” said Razvan Iorgu, Managing Director CBRE Romania.
Pipera attracted 35 percent of the leasing activity in the second quarter, while the North area attracted 29 percent, these two submarkets hosting over 54 percent of the total modern stock in Bucharest. „The period 2009-2012 represented a 180º change from a landlord market to a tenant market. Considering a gradual decrease of the vacancy rate, coupled with a stable level of transactional acitvity, we estimate that the period 2013-2015 will bring a balanced position between landlords and tenants, although slightly favourable to tenants,” also stated Razvan Iorgu.