Office availability grows to almost 19 percent in Bucharest

The availability rate for offices in Bucharest rose to 18.9 percent in the second quarter of this year, compared to a rate of 18.1 percent in the first quarter, according to DTZ Echinox. “A further increase of the availability ratio is expected by the end of the year, when a significant amount of new supply is about to be delivered: Platinum Business & Convention Centre, Swan Office Park (Phase I), Nusco Tower,” writes DTZ Echinox' statement. “We believe the office rents in Bucharest haven’t reached the bottom, especially for semi-central and decentralized locations, where we expect further drops of about 5 percent by the end of 2010, mainly due to the delivery of large office projects in those areas. The high occupation ratio in central business district, however, along with the increasing level of interest from the corporate sector, could lead to the growth of prime rents starting next year and throughout 2012, as the new supply diminishes by 35 percent in 2011,” said Bogdan Sergentu, head of valuations and consulting with DTZ Echinox.