Bucharest Office Market Q1 2019

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At face value, 2019’s debut on the Bucharest office market has been great, with total take-up at 105,000 sqm, up some 54% year-on-year and the third best print this cycle.

 

Still, enthusiasm needs to be toned down, as peeling away relocations from modern office buildings and contract renewals, we reach decent, albeit lacklustre, net take-up of c.29,000 sqm for 1Q19 (down some 23% over a year ago).

Another soft detail is the fact that a bit over a 20% of the net take-up was made up of flexible workspace operators.

Furthermore, relocations from competitive stock (i.e. other modern office buildings), which tend to create vacancy, stood at a sharp 54,000 sqm just in 1Q19 versus 102,000 sqm for all of 2018.

Overall, 93,000 sqm have been added to Bucharest’s modern office stock, taking the total to 2.5 million sqm, though by year-end, new offices with a total leasable area of around 250,000 sqm could come online. 


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Bucharest Office Market Q1 2019

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Silviu Pop

Head of Research | Romania

Bucharest

Before joining Colliers mid-2017 as Head of Research for Romania, Silviu Pop worked with ING Bank for close to three years as an economist, covering macroeconomic/financial market themes for Romania, Bulgaria, Serbia and Croatia. His previous professional experience includes working almost 7 years as a financial journalist at various media outlets in Romania, including the sole business-oriented TV station in Romania, where he hosted a daily show for a period of time; during this interval,  he won a number of scholarships, including a stint with Reuters. He holds a BSc in economics at the Bucharest University of Economic Studies.

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Sebastian Dragomir

Partner | Head of Office Advisory | Romania

Bucharest

Achieved over 14  years of experience in Real Estate, including management of Landlord Rep Department in CBRE, Head of EHL Romania Office & Industrial Department, and Senior Leasing Manager and Marketing Coordinator within IMMOFINANZ Romania, dealing both with Industrial and Office portfolio in Romania and Bulgaria. 

Currently, managing the activity of Office Advisory team in Colliers. 

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