Rental levels of office space in Belgrade to be the most attractive in the region (RS)
Thursday 10 September 2009
The office market in Belgrade has become more attractive to tenants, according to the latest research of Colliers International in Serbia. Based on this research, Belgrade is currently the city with the lowest rents in the region.
Compared to the levels recorded at the end of 2008, the achieved net rents marked a 15% decrease for Class A and an 8% decrease for Class B office space. The CBD area traditionally features the highest net rents, recording the average achieved rents of €15/m²/month for Class A and €13.5/m²/month for Class B office space. The Broad Center area marked similar price for class A and around €11 m²/month for Class B.
According to the research of Colliers International, there is currently around 200,000 m² of new class A and around 100,000 m² of Class B office space under construction and set for delivery by the end of 2010. In the next couple of years Belgrade will get many top quality office buildings. The most distinguished projects under construction are certainly Bluehouse center and Airport City Belgrade in New Belgrade, as well as Tri Lista Duvana office building in the heart of Belgrade, across the City Hall.
Compared to other capitals in the region such as Athens, Sofia, Tirana and Bucharest, net rents have decreased and mark the lower levels. Budapest is still an exemption with the lowest rents, which can be explained by over construction in the past couple of years. In 2008, the supply exceeded the demand two times in this city, while in 2009. the gap between the supply and demand has become even bigger