According to “Office Occupier: Office Market in Katowice”, a report published by real estate advisory firm Cresa Poland, total take-up for the first three quarters of 2021 reached 41,500 sqm and accounted for 81.3% of the annual average for 2015-2020.
In the third quarter of 2021, Katowice’s office stock amounted to more than 601,500 sqm, having expanded by 7.5% year-on-year. In Q3 2021, two office buildings entered the market, including the office part of Kolońska Park (7,900 sqm, Dzida-Jazgar) and Młyńska.6 (2,600 sqm, UBM Development).
Leasing activity in the third quarter of 2021 totalled 2,400 sqm, down by 68% on the same period last year. Office take-up reached 41,500 sqm since the beginning of 2021, a rise of 22% on the first nine months of 2020. Occupier activity in the third quarter was dominated by new leases. Although the third quarter of 2021 was the weakest in over six years, year-to-date gross take-up accounts for 81% of the annual average for 2015-2020.
The largest office transactions in Q1-Q3 2021 in Katowice included a renegotiation and expansion of Rockwell Automation in A4 Business Park III (19,500 sqm), a new lease by UPC Polska in Global Office Park C (4,300 sqm) and a renegotiation by UPC Polska in Green Park I & II (4,200 sqm).
Absorption for the first three quarters of 2021 came to just 5,100 sqm, of which 3,700 sqm was absorbed by the Katowice market in the July-September period, representing a rise of 175% over last year’s level.
The city’s vacancy rate continued its upward trend in the third quarter of 2021. At the end of September it stood at 10.1%, up by 0.9 pp quarter-on-quarter and by 3.1 pp compared to where it was at the same time last year.
Asking rents in modern office buildings in Katowice range between EUR 9/sqm/month and EUR 14.5/sqm/month (in the city centre).
Cresa is the world’s largest commercial real estate advisory firm that exclusively represents occupiers and specializes in the delivery of fully integrated real estate solutions. It serves clients through more than 80 global offices. Cresa Poland offers unbiased, independent commercial real estate advice. Its integrated services include conflict-free tenant representation, capital markets, market research and advisory, valuation, design & project management and workplace strategy. To learn more, please visit: www.nmrk.pl
