2010 office market review in short

Approximately 47 000 of 215 000 sq. meters of new office space delivered in Poland’s regional cities in 2010 was added to the market in Katowice. The new deliveries resulted a strong increase in vacancy rate. It was estimated at level of 16,8 percent at the end of 2010. The total office space stock reached nearly 260 000 sq. meters in the City.

The high supply volume was set by three new office schemes – Katowice Business Point, Reinhold Center and Francuska Office Center (building A & B) which were delivered in 2010. The last mentioned project on Francuska St. remains substantially vacant at present. However, the increase in vacancy rate provides a reasonable choice of accommodation for office occupiers, which is an important factor for BPO and SSC centers.

A construction of only one office scheme was started last year. It is the first building of the Upper Silesian Industrial Park offering 7 500 sq. meters of office space.

Office rents in prime locations were ranging from EUR 14 to 15 per sq.m/month last year. According to analysts, the rents’ level will remain stable. Though, if the vacancy rate remains on a comparable level to 2010, a slight drop on the rents may be expected in 2011.

based on researches of Jones Lang LaSalle and Cushman&Wakefield