EMEA Sustainable Returns Report
Bucharest, May 2026: The Bucharest office market is showing early signs of recovery, driven by a visible increase in pre – lease transactions, highlighting a renewed occupier appetite for future office spaces. As tenants secure their leases well in advance, the current development pipeline exceeding 215,600 sq. m, the highest level in recent years, is expected to be gradually absorbed, according to data from the Cushman & Wakefield Echinox real estate consultancy company.
This trend is already taking shape, with two of the top five deals signed in Q1 2026 being pre – lease agreements. A similar structure was also recorded among the landmark transactions concluded in 2025.
In the first quarter of the year, the total leasing activity reached 49,100 sqm, with pre – lease transactions accounting for approximately 25% of the volume. These contracts relate to projects scheduled for delivery over the next 1-2 years, according to the Bucharest Office Marketbeat Q1 2026 report.
Pre-lease agreements are increasingly positioning as a strategic instrument, enabling developers to mitigate risks while securing higher occupancy levels ahead of delivery. Moreover, 83% of the leasing activity recorded in Q1 consisted of net take – up, marking the highest share in the post – pandemic period and indicating that companies continue to expand or relocate despite the challenging economic backdrop.
The overall vacancy rate continued its downward trend, reaching 12%, compared to 13.6% in Q1 2025, supported by the lack of new deliveries and the steady absorption of existing stock.
The total modern office stock remained stable at approximately 3.43 million sq. m, as no new projects were delivered during the first quarter.
Looking ahead, the market will be further supported by a substantial development pipeline, with over 215,000 sq. m currently under construction. Around a quarter of this volume is expected to be delivered by the end of 2026.
Major projects under development include Timpuri Noi Square II (60,000 sq. m), ARC Project (30,000 sq. m), AFI Central Tower (28,000 sq. m), Queens District (23,000 sq. m) and One Technology District (20,600 sq. m).
These developments are set to further consolidate Bucharest’s main office hubs – Floreasca – Barbu Vacarescu and Center – West, while the Center submarket is on track to become the third one to exceed 500,000 sq. m of office spaces.
Vacancy rates also reflect a strong polarization across submarkets. Prime CBD locations (the area between Charles de Gaulle Square and Dacia Boulevard) report the lowest rate (3% – 4%), while Pipera North records the share of vacant spaces (36.6%), albeit offering some of the most competitive prime headline rents (€9 – 11/ sq. m/ month).
Ongoing infrastructure works in the Pipera area, initiated this year, are expected to address accessibility constraints, one of the key factors behind elevated vacancy levels, potentially leading to improved occupancy in the medium term.
Central and semi – central locations, such as Floreasca – Barbu Vacarescu and Center – West, continue to dominate leasing activity, accounting for more than 80% of the total transaction volume in Q1 2026.
Prime rents remained stable in the CBD at €21 – 22/ sq. m/ month, while upward movements were recorded in central and semi – central areas, where rents now generally range between €15 and €20/ sq. m/ month. Peripheral locations continue to offer more competitive levels, between €9 and €13.5/ sq. m/ month.
Mădălina Cojocaru, Partner Office Agency, Cushman & Wakefield Echinox: “The increasing share of pre-lease transactions, alongside a robust development pipeline, signals a repositioning of the Bucharest office market towards a new growth cycle. With demand primarily driven by expansions and relocations, projects under construction have strong fundamentals for gradual absorption as occupier confidence improves and the economic environment stabilizes. Companies are no longer waiting for project completion but are proactively securing suitable spaces in advance. This trend will support the absorption of the current pipeline and contribute to a further reduction of vacancy rates, particularly in modern, well-located buildings.”
