Part and parcel of the above is more efficient use of natural resources, ESG-compliant property and facility management systems and adherence to internationally agreed climate-related goals. How costs and initial outlays are divided between landlords and tenants remains an open question.
However, it is argued that high-quality ESG-compliant space is economically beneficial for office asset owners in the long term, with a higher probability of a sale to an investor at a favorable price. All stakeholders in an office project, therefore, have an economic interest in ESG features and processes that benefit owners, investors and consumers alike.
“A successful office development must integrate functionality, sustainability, and employee well-being,” comments Zsombor Barta, founding partner at Greenbors Consulting. “Interiors should prioritize flexibility, using modular layouts, natural light, and energy-efficient lighting and HVAC systems. Sustainable materials, such as recycled or locally sourced finishes, enhance both aesthetics and environmental performance,” he adds.
Post-pandemic, companies adopted a hybrid working model of staff splitting work between the physical office and their home. However, that may now be coming under some pressure, according to several analysts.
“A hybrid work model, whereby employees have a combination of in-office and remote days, is increasingly becoming the norm in modern office complexes. However, a growing number of firms have begun to demand that more workers show up in the office,” says Kata Mazsaroff, managing director of Colliers Hungary.
“As a result, the hybrid model that took hold after the pandemic is mostly settling into a 3:2 ratio in favor of the corporate office. However, there are some employers who are thinking about a full return to the corporate office. Office interiors need to reflect hybrid office working habits to ensure physical space beyond the traditional work settings for brainstorming, innovation and a platform to establish culture and values,” she adds.
Modern offices must adhere to ESG requirements and tenants’ expectations for developers to let a project.
“All new projects are developed along ESG criteria, and it is no longer a differentiator but a ‘must’ considering occupier and investor expectations. Developers are not only obtaining the LEED, BREEAM, WELL and Access4You certificates, but are reacting to the occupiers’ requirements for buildings to be carbon neutral during operation by using heat pump systems and purchasing green energy,” adds Mazsaroff.
Valter Kalaus, managing partner at Newmark VLK Hungary, sees the office of the future as embracing flexibility, sustainability, smart systems and an employee-centric environment that emphasizes collaboration and wellness.
“Creating spaces that prioritize occupant health, including good air quality, natural lighting, and biophilic design (for example, indoor plants and green spaces), is increasingly important. WELL certification could be pursued to demonstrate commitment to employee well-being,” he says.
“Office developments must ensure that ESG-related efforts are transparent and measurable. Regular reporting on energy usage, carbon emissions, water consumption, and waste management should be integrated into the project’s governance framework. This aligns with the EU’s focus on improving corporate sustainability reporting,” Kalaus adds.
Where an office is built is ever more central to a successful project as developers must source a site that staff can access by car, public transport or bicycle within a reasonable amount of time. At the same time, the location should provide visibility for the tenant and conform to ESG expectations and regulations.
“Location is key; the office should be easily accessible, and its design should be tailored to the needs of the people working there, providing the right conditions for efficient working,” Kalaus argues. “Today, it is also a natural expectation that you should not have to travel long distances to reach services such as restaurants, cafés and shopping facilities during a break or after work. Proximity to a gym, beauty salon or barber shop can be an added advantage,” he adds.
The principle of sustainability in location is that an urban office district is best located when easily and quickly accessible from residential and retail areas, with public transport available to support commuting, all while being cost and energy-efficient.
Third-party sustainability rating organizations such as BREEAM, LEED and WELL award points based on the locational benefits of an office building and its economic and social contribution to the surrounding area.
With regard to travelling times, Budapest, as a relatively compact city, would seem to have an advantage over some Western European capitals where commuting distances are substantial and, therefore, discourage a return to the office.
“As a business hub, Budapest can benefit from a focus on sustainable infrastructure. This involves encouraging the development of green buildings with high sustainability ratings, such as LEED or BREEAM,” Barta argues.
“These structures not only reduce energy consumption but also incorporate green spaces and are strategically located near public transport, minimizing the reliance on cars and promoting a healthier environment. Additionally, integrating smart city technologies can optimize energy use and waste management, making Budapest more appealing to environmentally conscious businesses,” he concludes.
The redeveloped Liget Center by Wing, specifically designed for RTL Hungary by Tiba Architects Studio, was named “Office Building of the Year 2024” (the 15th time the prize has been presented) at an awards ceremony on April 30. The project combines the preservation of historical values with a modern, sustainable office environment.
The Liget Center Classic and the adjoining Auditorium buildings were constructed between 1948 and 1951 and previously served as the headquarters of the MÉMOSz (Hungarian National Federation of Construction Workers). Wing preserved the original modernist architectural features of the building while equipping it with state-of-the-art technology and meeting the specific functional requirements arising from RTL’s broadcasting activities, according to the developer. The Auditorium houses the news directorate and news studios, while the Classic building accommodates RTL’s office functions.
The Liget Center Auditorium boasts an “A” energy efficiency rating and an “A+” CO2 emissions classification. The entire heating and cooling system was replaced with modern heat pump equipment during the renovation. Both the Liget Center Classic and Auditorium are powered entirely by green electricity. “Builders,” the monumental relief by István Tar on the façade, and Dezső Lányi’s sculpture “Construction Workers” were also restored and returned to their original locations.
This article was first published in the Budapest Business Journal print issue of May 16, 2025.
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