In the second quarter of 2022, the total office stock in Bratislava represented 1,96 million sqm. 16 % of total stock consists of class A+ office space, 37 % of A and 47 % of class B office space.
In terms of the ownership structure, similarly to the previous quarter, approximately 4 % of the office stock is state-owned, 12 % are buildings owned and fully occupied by the same entity, and the total stock for commercial use remains at 84 % (or around 1.64 million sq m) of total modern office stock in Bratislava.
Green Certified Buildings
In total, Bratislava offers almost 661,302 sqm of office space with a valid green / sustainable building certificate. This is 34% of the total volume of office space in Bratislava, or 38 out of 272 buildings. 61 % of the certified stock has BREEAM, 5 % combination of BREEAM / WELL GOLD and 34 % 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.
Office Market Transactions (Take-Up)
Lease transactions in the second quarter of 2022 reached a total area of 27,894 sqm, which represents a 35 % decrease in leasing activity compared to the previous quarter. In a year-on-year comparison, the number of leased areas decreased by 25 %. New leases accounted for 47 % of the total take-up, renegotiations 33 %, pre-leases 12,5 %, while the remaining 7,5 % were expansions.
Take-up was dominated by transactions in the IT sector with s size of 8,878 sqm. The largest transaction was in the IT sector with an amount of 2,450 sqm. A total of 5 transactions were recorded with an area of over 1,000 sqm.
The majority of leased space this quarter was leased within the IT (32 %), professional services (21 %) and finance sector (15 %).
Significant Office Transactions in Q4
Office Vacancy
The overall vacancy rate in Bratislava is stable at 11.81 %. The lowest vacancy rate was recorded in the City Centre submarket (8.16 %), followed by the Inner City (9.72 %), CBD (12.32 %), South Bank (13.50 %) and Outer City, recording the highest vacancy rate of 15.93 %.
Prime Rent
Prime rent remained unchanged at 16.50 EUR / m2 / month compared to the previous quarter.
Definitions
Stock: Total completed office space (occupied and vacant), newly built since 1993 or refurbished, A and B class offices, owner occupied and for lease.
New supply: Completed newly built or refurbished buildings that obtained a use permit in the given period.
A-Class office building: Reflects an above average fulfillment of the specific criteria including the following: integrated air conditioning system, limited total floor depth, floor to ceiling height minimum of 2.75m, the flexibility of internal design, either three compartment trunking for telephones, electricity and computer cable or raised floors/suspended ceilings, manned reception and covered access to car parking, lift access and disabled access, dual power supply and/or power supply system back-up.
Take-up: A gross figure representing the total floor space known to have been let or pre-let, sold or pre-sold to tenants or owner-occupiers over a specified period of time. It does not include space that is under offer. A property is taken up when the contract is signed. Total take-up includes re-negotiations, net take-up excludes re-negotiations.
Pre-lease: Active pre-leasing for an office building begins as soon as preliminary design drawings are ready to show to prospective tenants. Pre-leasing occurs until the start of construction.
Vacancy rate: Ratio of physically vacant space in completed buildings as a percentage of the total stock.
Prime rent: Achieved rents that relate to new prime, high specification units in prime locations.
