Polish office research forum releases data on the office market in Warsaw for Q3 2017 – EuropaProperty

Polish Office Research Forum has published its figures for Q3 2017 for the office market in Warsaw. The market data prepared by a team of analysts includes modern office stock, new completions, take-up volumes and vacancy rates.
At the end of Q32017 total modern office stock in Warsaw accounted for 5,222,400 sqm.

In 2017 YTD, approximately 204,900 sqm of office space was completed. In Q3 alone, more than73,500 sqm entered the market in three modern office developments.

The vacancy rate in Warsaw reached 12.9 percent in the end of September (a 1.0 pp decrease q-o-q and 1.7 pp decrease compared with the analogical period in 2016), which translated into 672,700 sqm office space for lease. Vacancy rate in central locations stood at11.1 percent while in non-central locations it reached 14.0 percent.

In Q3 the gross demand reached 198,600 sqm, which brought the 2017 YTD total to 589,500 sqm. The strongest leasing activity was recorded in the City Centre zone (151,000 sqm leased) and in Mokotów (132,200 sqm leased).

Between January and September 2017 the highest share in total take-up volume was attributed to new deals (61 percent).Renewals of current lease agreements attributed to 26 percent while expansions to 13 percent.

The largest lease transactions in the first half of 2017 included: a renewal of Millenium Bank lease agreement in Harmony Office Centre (18,300 sqm), a pre-let agreement by Citi Service Center Poland in Generation Park X (13,600 sqm),an expansion and renewal by Alior Bank in Łopuszańska Business Park (13,400 sqm) and an expansion and renewal by AstraZeneca in Postępu 14 (13,200 sqm).