CEE Office MarketBeat Report Q3 2025

• Leasing Activity: Gross take-up in major CEE markets exceeded 624,500 sq m in Q3, with YTD volumes at 1.7 million sq m (just 6% below 2024). Prague led with 429,100 sq m YTD, Budapest posted 315,000 sq m (net take-up up 7% YoY), and Warsaw recorded 486,600 sq m YTD. Bucharest and Sofia had their strongest quarter of the year, while Bratislava remained steady.
• Supply & Vacancy: Q3 saw the lowest new supply on record—just 3,500 sq m delivered and 129,300 sq m YTD (down 52% YoY). Total stock across CEE-6 capitals reached 22.1 million sq m, with 1.3 million sq m under construction (mostly pre-leased). Vacancy rates vary: Prague (6.5%), Warsaw (9.7%), Budapest (13.5%), Bucharest (12.8%), Sofia (12.4%), Bratislava (14.5%).
• Prime Rents: Rents remained stable or slightly higher: Warsaw (€22–27/sq m/month), Prague (€30), Budapest (€25), Bucharest (€20–21), Bratislava (€20.50), Sofia (€20). Low vacancy in central locations supports rental resilience. Incentives are more selective, mainly in older assets or high-vacancy submarkets.

Outlook

• Stable Fundamentals: The sector enters Q4 with stable fundamentals and exceptionally low new supply, supporting prime asset outperformance. Vacancy is expected to decline where few projects are scheduled, while older buildings will face increasing pressure without upgrades.
• Occupier Priorities: Demand will remain focused on sustainable, centrally located, high-amenity offices that support hybrid work and talent retention. With constrained pipelines, a supply gap is likely to sustain rental stability and selective growth through 2026.
• Investor Sentiment: Improving, especially for prime and value-add opportunities where refurbishment can drive long-term performance. Markets with strong talent pools and diversified service sectors—Warsaw, Prague, Budapest, Bucharest—are best positioned as conditions normalize.