Vacant office space continues to decline in Central Europe
As a result of companies leasing more new spaces in the first half of this year than new developments being made available, the ratio of vacant space continues to decrease, averaging 6.8% in Central Europe – the lowest figure in the last nine years – Cushman & Wakefield said in its Central European Industrial Market Report yesterday.
“The decrease is most prominent in Hungary where the vacancy rate decreased by two percentage points to the current 13.7% within six months. If Hungary keeps this pace up, it could reach a healthy vacancy rate of about 10% around the turn of the year,” says Ferdinand Hlobil, Head of Cushman & Wakefield’s CE Industrial Team.
Both the development and take-up of industrial parks in Central Europe, including Hungary, is continuing and slightly accelerating in comparison to last year, Cushman & Wakefield added.
The appetite for investing in commercial properties is also increasing, with a shortage on the supply side making buyers willing to pay more, Cushman & Wakefield said in its Central European Industrial Market Report which covers Poland, Czech Republic, Hungary, Slovakia and Romania. According to Cushman & Wakefield this trend is most obvious for logistic and production facilities.
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