Class A Office Space Rental Rates in Sofia Record 8.3% Growth Y/Y
Rental rates of class A office space in Sofia have reached EUR 13 per sq.m. in Q1 2014, according to the recent data provided by Colliers International.
The increase is 8.3% compared to the previous six months and on an annual basis, Investor.bg informs citing the company report.
Profitability from office rents in Bulgaria's capital city has remained stable at 9.5%, being commeasurable with the markets of cities such as Tirana, Cairo, Saint Petersburg, and Belgrade. Lower-risk market profitability varies in the range of 3.5% to 4.5%.
European office rental rates growth is unstable, although there is a trend of improvement corresponding to the better prospects for the economy, the latest Colliers International report says.
The most considerable decline is reported by the peripheral markets which have registered the highest profitability in recent years - Dublin, Madrid, Athens, Barcelona and others. A moderate downtrend has been recorded in the cities of Central and Eastern Europe - Bucharest, Budapest, Prague and others.
The downtrend in profitability is expected to continue in the coming months, Investor.bg notes.
- » What is the Future of Real Estate in Sofia?
- » 24 % of the Apartments in Sofia are Uninhabited
- » The Properties by the Sea: The Russians Leave, the Westerners Come
- » VMware has Negotiated the Largest Office Deal in Bulgaria
- » Bulgaria is Seventh in the EU in Increase of House Prices in 2017
- » A Court in China Sells an Unfinished Skyscraper at an Auction