Budapest’s vacancy rate has dropped to a record low of around 5 percent from 8 percent five years ago. Take-up totaled 637,000 sqm in 2019 while its total stock of office space rose to roughly 3.7 million sqm, according to the Budapest Research Forum. It added that there’s currently a supply pipeline of more than 570,000 sqm. “However, further development delays are likely, and hence some of the 2020 pipeline is expected to shift [back to] later. In terms of leasing status, the volume currently scheduled for handover in 2020 is currently 70 percent committed,” said Anikó Kovacs, head of the office advisory and transactions at CBRE Hungary. “Delays could occur towards the end of the year as well, but it is still early to accurately judge the likelihood of projects pushing into 2021.”
