The Warsaw office market opened in 2025 on a steady footing, with a notable increase in leasing activity and a modest decline in vacancy. While new supply remains constrained, landlords continue to focus on upgrading existing assets and prioritising quality over quantity. The market is entering a phase of selective, demand-driven growth, aligning more closely with the evolving expectations of modern occupiers. AXI IMMO, the largest Polish advisory firm on the commercial real estate market, presents its latest report: “Warsaw Office Market – Q1 2025.”
As of the end of March 2025, the total stock of modern office space in Warsaw stood at 6.28 million sqm, reflecting only a marginal year-over-year increase. This signals a stable supply landscape, with new deliveries offset mainly by the withdrawal of outdated or underperforming buildings. Only one new property was delivered during the first quarter – CD Projekt’s new headquarters in Praga-Północ. Approximately 210,000 sqm of office space remains under construction, with more than 90 percent concentrated in central business zones, particularly around the rapidly developing Rondo Daszyńskiego area. The citywide vacancy rate declined slightly to 10.5 percent. In core districts, availability is tighter, averaging 7.4 percent, while vacancy outside the centre stands at 13 percent. The Służewiec submarket continues to experience the highest vacancy rate at 20.4 percent, highlighting the gap between supply and tenant expectations in ageing office stock.
Emilia Trofimiuk, Research Manager, Research Department, AXI IMMO, noted: “We’re seeing a growing loss of competitiveness among older office buildings. More and more owners are stepping back from actively marketing space that no longer meets today’s tenant expectations, whether due to outdated technical specs or a lack of environmental standards. Some of these assets are awaiting renovations, while others are being repurposed, most commonly for residential use. The market is becoming more intentional, and available space is now better aligned with what businesses truly need. This reflects a natural maturing of the Warsaw office sector.”
A positive highlight in Q1 2025 was the rise in tenant activity, which reached 160,000 sqm, up 16 percent compared to last year. The strongest take-up was seen in central locations such as the Central Business District, Centre-West, and Służewiec, which still offers significant available stock despite its challenges. Leasing breakdowns reveal that 66 percent of all transactions were new leases or pre-leases, 25 percent were renewals, and 9 percent were expansions. The average deal size in Q1 stood at approximately 1,000 sqm.
Bartosz Oleksak, Associate Director, Office Agency, AXI IMMO, commented: “We’re seeing tenants become more deliberate in their decision-making. Companies are looking for space tailored to their needs- modern, efficient, well-connected, and employee-focused. Central locations, especially around Rondo Daszyńskiego, are gaining traction not just for their prestige, but because they offer practical value for today’s operational models. There’s also growing demand for flexible leasing terms, and the option to scale within a building reflects ongoing uncertainty around long-term workplace strategies.”
According to AXI IMMO analysts, asking rents in Q1 2025 remained stable. In prime, centrally located office buildings, asking rates ranged between €19.00 and €26.50 per sqm per month, with top-tier buildings commanding even higher rents. In non-central areas, asking rents started at approximately €10.00 per sqm monthly.
