In the second quarter, the regional office market increased by 68.3 thousand sq m and most offices were delivered in the capital of Małopolska. The quarterly transaction volume amounted to nearly 190,000sq m and was nearly by a quarter bigger than in the period from January to the end of March this year. The authors of the periodic study from the international consultancy company BNP Paribas Real Estate Poland draw attention to the gripes, which affect offices in regions and the capital alike – an increasingly visible supply gap, an increase in labour costs, high costs of materials and services, as well as increasing business costs.
The second quarter consists primarily of new agreements, considering pre-lease agreements and the securing of space for the owners' own needs. In the demand structure, they accounted for 57%. The renegotiation and extension of existing contracts accounted for 35%, and expansions finished the quarter with 8% of the share. We see that the regional supply gap is approaching even more quickly, and tenants are looking to secure the space. Curtailed new supply in many companies will translate into a change in the space rental strategy, shifting the focus to long-term planning
says Michał Karolkiewicz, Consultant in the Office Agency Department at BNP Paribas Real Estate Poland.