According to a report by CBRE Romania analyzing data relating to transactions and trends on the real estate market in the first half of 2016, the total demand in the second quarter was of 100,700 mp, while during the entire first half it amounted to 205.5 00 sqm, representing 86 percent of the total demand for the entire year 2015 and marking a 40 percent increase compared to the first semester of last year.
The CBRE report also shows that in the second quarter of 2016, the net demand for office space, which includes advance renting, new demands and expansions, amounted to 76,000 sqm, accounting for over 75 percent of total demand. Compared to the first half of 2016, the net demand stood at 136,000 sqm, which represents two thirds of the total demand recorded during the same period.
“All this data conveys a dynamic picture of the real estate market in 2016; that is why, we are optimistic, we look with confidence to the fact that the economy as a whole will bring significant increases in the next period,” said Mihai Paduroiu, Head of Advisory & Transaction Services, Investor Leasing Office at CBRE Romania.
According to the CBRE report, the office space market in the capital recorded over one million sqm of Class A office space. The total stock of office space at the end of the first half of 2016 stood at 2.49 million sqm.
“There is a large number of firm requests, represented in exclusivity, that are being traded, at the moment, on the market, a large number of expansions, new requests for office space. That is why, we believe that the total demand will remain at constant levels up to the next quarters of 2016 and will reach approximately 350,000 – 400, 000 sqm,” Paduroiu said.
CBRE has brokered approximately 20,000 sqm in Q2 2016, representing owners and renters in Bucharest and around the country. CBRE data also shows that in Q2 2016 were delivered 80.600 sqm in Class A offices in four buildings in Bucharest. The first three buildings located in the northern part of the capital: Globalworth Tower and Gara Herastrau Office Building (developed by Globalworth), Green Court Bucharest, developed by Skanska, and one building in the center: George Enescu Office Building (developed by Jupiter Group).
By the end of the year, approximately 234.000 sqm, with 95 percent represented by Class A offices, are scheduled to be delivered. More than half the new stock announced by the end of 2016 is located in Pipera, 21 percent in West and 15 percent in Centre Business District. (source: business-review.eu)
