Volume of leasing deals on Romania's office market up 41% in Q1

Some 124,500 square meters (sqm) of office space were leased in Romania in the first quarter of the year, nearly 41% more than in the same period last year.

The rental transactions closed in Q1 this year account for about 31% of the total volume traded in 2018, which was about 400,000 sqm. Assuming the current growth rate is maintained, the market could exceed 560,000 sqm by the end of this year.

Most of the first-quarter new tenants came from sectors such as IT, financial and professional services.

“It is important to note that fewer transactions were signed in the first quarter compared to the same period last year, namely 68 against 73, but the average leased area increased to almost 2,000 sqm, from 1,200 sqm in 2017. This development was driven by five transactions of more than 10,000 sqm and shows that the Romanian market remains an attractive destination for existing companies, but also for new names,” explained Marius Şcuta, Head of Office Agency and Tenant Representation JLL Romania.

Bucharest generated the largest volume of rental transactions in Q1, namely over 107,000 sqm (over 86% of the country-wide total), followed by Timişoara with just over 6,000 sqm, or almost 5% of the total. Significant transactions were also carried out in Craiova, Cluj-Napoca, and Iasi.

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