Savills Warsaw Office Market 2024: Trends and Predictions for 2025

Savills has published its latest report, Warsaw Office Market 2024, summarizing last year’s trends and offering forecasts for 2025. The report identifies critical factors shaping Warsaw’s office market, including a supply gap, rising rents, and the growing importance of flexible office solutions and sustainable practices.

Supply Gap and Limited Developer Activity

Warsaw’s office stock reached 6.29 million square meters in 2024, with demand holding steady at 740,200 square meters. Despite a 71% year-on-year increase, the 104,400 square meters of new office space delivered in 2024 remained below historical averages. Most new supply was concentrated in central zones, including the Rondo Daszyńskiego area, where projects such as The Form, Lixa (D and E), and Vibe A accounted for significant additions.

Currently, only 230,000 square meters of office space are under construction, a 14% decline compared to 2023. With just two new projects located outside the city center, developers remain cautious. Savills predicts that fewer than 400,000 square meters of office space will be delivered between 2025 and 2027, exacerbating the supply gap.

Demand Dynamics and Rent Increases

Tenant activity in 2024 reached 740,200 square meters, slightly below the previous year. Renegotiations accounted for 46% of transactions, reflecting high adaptation costs and limited supply. Pre-lets and expansions were also notable, with key deals such as Santander Bank’s pre-let in The Bridge and significant renegotiations by financial institutions like Bank Gospodarstwa Krajowego and Citi Bank Services.

Savills expects rents in prime locations to rise as competition for modern, well-located spaces intensifies. In 2024, average rents in the Central Business District remained stable at EUR 22.50–26.00 per square meter per month, while Służewiec saw slight increases due to higher fit-out costs.

Flexible Office Solutions Gain Momentum

Flexible office solutions, including serviced offices and coworking spaces, saw significant growth, with operators leasing 28,600 square meters across 16 locations—a nearly 70% year-on-year increase. By year-end, Warsaw offered 208,200 square meters of coworking space across 87 locations, catering to over 25,000 workstations. New flex office spaces totaling 5,200 square meters are set to launch in 2025, reflecting the growing appeal of adaptable, ready-to-use solutions.

Sustainability and Employee-Centric Design

Sustainable practices and employee-focused designs are becoming essential. Tenants are prioritizing buildings with certifications like BREEAM and LEED, driven by energy efficiency and cost optimization. Companies are also redesigning office spaces to attract talent, emphasizing collaborative zones, meeting rooms, and relaxation areas over traditional open-plan layouts.

Conclusion: Opportunities and Challenges Ahead

As Warsaw’s office market faces limited supply and increasing demand, 2025 will require strategic planning from tenants, landlords, and developers. Decisions will hinge on long-term forecasts, workforce needs, and sustainable solutions. The market is poised for transformation, driven by new technologies, cost efficiency, and the need to adapt to evolving work environments. Savills experts underscore the importance of proactive planning and innovation to navigate the challenges and opportunities of the coming years.