Bucharest office market: slightly rising vacancy rates despite shrinking supply

The vacancy rate in the Bucharest office market registered a slight increase in Q3, from 12.75% in the previous quarter to 13%, on the back of lower net demand and despite a visible trend of shrinking supply, according to a report of JLL Romania.

"The office market is going through a period with multiple challenges, reflecting the uncertainties in the economy and the inflationary pressure, which discourages the expansion of companies," said Alexandru David, Head of Research JLL Romania, Ziarul Financiar reported.

In January-September this year, the volume of deliveries dropped to 105,000 square metres (sqm), compared to 154,000 sqm in the same period of 2021.

For 2023, even fewer deliveries are expected: around 70,000 sqm, in line with the inflationary impact on construction costs but also the expansion plans of companies.

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