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.
- » Vitosha Blvd in Bulgaria’s Sofia Ranks World's 54th Most Expensive Retail Location
- » Building Permits, Construction Starts Increase in Bulgaria in Q3
- » Bulgaria’s Sofia Property Prices Rise 6% Y/Y in Jan-Sept – Report
- » Bulgaria 'Great Country for Rest and Stay' - Russian Website
- » Bulgaria’s Agricultural Land Prices Rise 15% in 2014, Rental Prices Up 8%
- » Bulgaria Leads in Rise in Commercial Property Sales in EU in 2014