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Bucharest new office space deliveries to double in 2019 - JLL

Bucharest new office space deliveries to double in 2019 - JLL Cluj-Napoca, Romania

BUCHAREST (Romania), August 26 (SeeNews) - This year will set a record in terms of new deliveries on the Bucharest office market, real estate consultancy Jones Lang LaSalle (JLL) said on Monday.

The announced volume of office space to be delivered in 2019 is 333,500 sq m, more than double compared to 2018,  JLL said its Bucharest City Report for the second quarter of 2019.

The office market is going through a favourable period, with many multinational companies opening new offices or expanding their existing space in Bucharest. Tenants are looking for high quality buildings, in good locations, offering A+ conditions and the possibility to increase their space in future, JLL said.

The office stock in Bucharest was estimated at over 2.84 million sq m at the end of June, and by the end of the year it will approach the threshold of 3 million square meters. Over 150,000 sq m are expected to be delivered in the second half, the largest projects being Expo Business Park, Ana Tower, The Light and Equilibrium.

Regarding the retail market, JLL noted that there are no new shopping centers to be delivered in Bucharest this year. However, the extension of Veranda Mall in Obor is nearing completion. This will add 6,000 sq m GLA to the scheme, including a cinema, JLL said.

Total rental demand for modern industrial and logistics spaces in Romania was strong during the second quarter of the year, with transactions totaling close to 126,000 sq m, most of them new leases. Bucharest attracted most of the demand for industrial and logistics spaces, respectively 41% (approximately 100,400 sq m), followed by Slatina (62,000 sq m), Oradea (34,000 sq m) and Timisoara (almost 22,300 sq m.)

Earlier this month, JLL said the volume of property investments in Romania rose 64% on the year to 338 million euro ($375 million) in the first half of 2019 and is expected to exceed 1.2 billion euro in the full year.

($=0.8931 euro)

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