Lease transactions in the Bratislava office market in the fourth quarter of 2022 reached a total area of 54,532 sqm, which represents around a 41% increase in leasing activity compared to the previous quarter, the Bratislava Research Forum reports.
In the fourth quarter of 2022, the total office stock in Bratislava represented 1.97 million sqm. 15% of the total stock consists of class A+ office space, 39% of A class, and 46% of class B office space,
During the fourth quarter of 2022, there was no new office building added to the market. In terms of the ownership structure, similarly to the previous quarter, approximately 4% of the office stock is state-owned, almost 12% are buildings owned and fully occupied by the same entity, and the total stock for commercial use remains at 84% (or around 1.66 million sqm) of total modern office stock in Bratislava.
Green certified buildings
In total, Bratislava offers almost 675,302 sqm of office space with a valid green/sustainable building certificate. This is 34% of the total volume of office space in Bratislava. Currently, 39 out of 272 buildings meet the criteria. 60% of the certified stock has BREEAM, almost 5% combination of BREEAM / WELL GOLD and 35% LEED certificate. Only the Twin City Tower has the highest BREEAM Outstanding rating, and in the case of LEED Platinum, the Digital Park buildings and Ein Park Offices are its only current holders.
Take-up
Lease transactions in the fourth quarter of 2022 reached a total area of 54,532 sqm, which represents around a 41% increase in leasing activity compared to the previous quarter. In a year-on-year comparison, the number of leased areas decreased by almost 49%. Renegotiations accounted for 53% of the total take-up, new leases 43%, and expansions 4%.
Take-up was dominated by transactions in the sector of professional services with a size of 12,451 sqm. The largest transaction was in the IT sector with an amount of 6,700 sqm. A total of 11 transactions were recorded with an area of over 1,000 sqm. Most of the leased space this quarter was leased within the sector of professional services (22.83%), public sector (19.18%) and IT sector (18.47%).
Office vacancy and rent
The overall vacancy rate in Bratislava slightly decreased compared to the previous quarter to 11.21%. The lowest vacancy rate was recorded in the South Bank (6.32%), followed by the City Centre submarket (8.77%), Inner City (9.00%), CBD (12.70%), and Outer City, recording the highest vacancy rate 14.97%. Prime rent hasn’t changed and remains at a level of €17/sqm/month.
