Poland’s office market is making a strong comeback, with Warsaw emerging as one of Europe’s most dynamic and promising hubs for both occupiers and investors, according to the latest research from Knight Frank. This resurgence is supported by robust economic growth and renewed investor confidence; the sector is once again attracting global attention.
Highlights at a glance:
- Poland’s GDP is on track to exceed USD 1 trillion in 2025, positioning the country among the world’s 20 largest economies.
- Leasing activity is up 15 percent year-on-year, reaching 689,000 sq m in H1 2025, close to record 2019 levels.
- Vacancy rates have stabilised, with Warsaw’s CBD vacancy dropping to just 7.1 percent.
- Prime rents in Warsaw’s top buildings range between €18–35 per sq m/month, with further growth expected.
- Over €2 billion has been invested in Polish offices since 2024 – more than in any other sector, including industrial, led by the landmark €280 million sale of Warsaw UNIT.
Charles Taylor, CEO at Knight Frank Poland, says, “We are witnessing a real resurgence of Poland’s office market. Warsaw, in particular, is benefiting from a unique combination of strong occupier demand, limited new supply, and competitive pricing compared to Western Europe. Prime office transactions in Warsaw, priced between €4,500 and 6,000 per sqm, compare very favourably with those in Frankfurt, Munich, and Paris, where both yield and rent differentials are significantly wider by comparison.”
Occupier market on the rise
Occupier activity continues to build momentum, with limited new supply reinforcing the market’s stability. Office availability has tightened, especially in prime Warsaw locations, where demand is strongest. The shift toward modern, ESG-compliant, and hybrid-friendly office spaces is further driving leasing decisions.
Investment market back in focus
Investment flows are accelerating, with Core and Core+ assets leading transaction volumes. Warsaw remains the focal point, but regional cities like Kraków are also drawing investor interest, as illustrated by Stena Real Estate’s acquisition in the High5ive complex. Competitive pricing – at €4,500–6,000 per sqm in Warsaw – makes the market especially attractive compared to Frankfurt, Munich, or Paris. Prime yields stand at 6 percent in Warsaw and 7.5 percent in major regional markets, with further compression anticipated as competition for top-quality assets intensifies.
Outlook
With a strong economy, resilient occupier demand, and a growing wave of international and private capital, Poland’s office market is firmly on the path to resurgence. Warsaw, in particular, is cementing its position as one of Europe’s leading office destinations and will be increasingly attractive to investors.
