Warsaw office market Q3

by   CIJ News iDesk III
2020-10-21   11:45

According to JLL, the demand at the end of the third quarter of 2020 was 35% lower than in the same period last year, and the amount of office space intended for sublease is growing on the market. A total of 447,000 sq m was leased in Warsaw between the first and third quarter of this year. surface. The most popular ones were again Centrum and Mokotów, which account for 71% of the total demand for offices.

The largest lease transactions this year included: PZU's pre-lease agreement in Generation Park Y - Skanska's first tower building in Poland (46,500 sqm), DSV sale and leaseback agreement in Mokotów (20,000 sqm) as well as renewal and expansion of Poczta Polska at Domaniewska Office Hub (19,800 sqm).

From January to the end of the third quarter, 238,000 sqm was delivered to the Warsaw market, of which the largest new investment is The Warsaw Hub complex, developed by Ghelamco Poland.

“In recent years, 700,000 sqm has been under construction. to 800,000 sqm, and now it is approx. 600,000 sqm. Developers are much more cautious about starting new construction projects, which may result in a supply gap, especially outside the city center. This, in turn, will probably increase the attractiveness and competition for space in the best buildings located there ", said Jakub Sylwestrowicz, Director of the Tenant Representation at JLL.