Returning to net absorption, the 2025 level is one of the poorest on record (our data goes back to 2005), but there are mitigating factors. Even based on the weak absorption rates between 2021 and 2025, the vacant spaces recorded at the end of 2025 would be filled in about 4 years by a similarly performing market. We need to distinguish between various submarkets and building classes in Bucharest. For modern, well-located class A buildings, vacancy rates are in low single digits (or zero) in most cases; a big chunk of vacant spaces are simply less appealing amid present limitations (related to access or to certain technical parameters). Furthermore, having about 4 years’ worth of vacant spaces is hardly exceptional, as this is lower than most competitive EU capital cities. Budapest, Vienna, Madrid and Amsterdam have between 11 and 13 years’ worth of supply. While we often compare recent trends with historic data, peer comparisons are also valuable as they show Bucharest’s office market is outperforming many others in the European Union.

We would caution that while headline demand is not exceptional, demand for very good projects from major companies remains quite decent. In fact, Adobe’s expansion in the U-Center project – one of the year’s leasing highlights – is the biggest new leasing demand transaction we’ve recorded since at least 2010 (over 13,000 sqm).

All in all, 2025 saw multiple trends converge to produce somewhat smaller demand, particularly as companies hesitated on long-term strategic plans – including real estate decisions. Nevertheless, we’re seeing signs the bottom is near or has passed, as companies accept that uncertainties are here to stay. Leasing deals like Adobe’s may be one-offs, but could also signal green shoots. Also pushing such arguments is the fact that companies are increasingly more assertive about bringing employees back to the office for at least 3 days a week, with many pushing for 4 days. A looser labour market and talk of a softer economy serve as compelling arguments for employees to accept this shift. Another positive: the uptick in new discussions initiated in H2 2025 could translate into higher tenant demand in 2026.

Sector-wise, it was a fairly well-rounded year: financial services took the biggest share of gross take-up at 23%, followed by IT&C with 20% (after strong Q4 recovery) and professional services with 17%. Worth noting: this is still one of the poorest results for IT&C leasing demand in history. Before the pandemic, IT&C’s share regularly hit 40%, peaking at about 50% in the record-setting year of 2019.

Another interesting characteristic: despite some sizeable deals, average deal size dropped to around 1,400 square meters, down substantially from recent years and 11% below the 10-year average. This could have longer-standing repercussions on how future projects are designed, but could also benefit landlords through a more diverse tenant base.

Rents & Vacancy

Rents remain under upward pressure in most cases – the aggregated average asking rent for Bucharest increased 3% in 2025 versus the previous year, reaching just over 15 €/sqm. Good projects (from a technical standpoint) in desirable submarkets with strong transport connectivity have captured the lion’s share of favourable market perception. Meanwhile, distressed projects (those with little tenant interest) saw virtually no changes.

This is visible in the vacancy shift as well. While Bucharest’s aggregated vacancy rate remains in double digits (11.75% at end-2025, down from 13% in 2024), we clearly see a two-speed market. Central submarkets (CBD and other central areas) plus Floreasca – Barbu Vacarescu already have fairly low vacancy at levels comparable to pre-pandemic lows. Such areas are essentially landlords’ markets, with rents clearly under upside pressure as tenant interest remains decent.

Outlook

With around 50,000 square meters in 2026 deliveries (One Technology District, Arc Project) and less than 100,000 square meters in 2027 (Timpuri Noi Square’s new phase, Promenada Offices and U-Center 3), this is hardly a bustling period. Pre-pandemic, Bucharest regularly saw at least 150,000 square meters of offices annually (a level that may only be reached in 2028), which it digested fairly easily. This will become key medium-term, but we aren’t overly concerned even if demand remains similar to recent years, given that the supply of good office spaces in good submarkets is suboptimal and showing landlords’ market hallmarks. Should demand accelerate, we could see a more generalized landlords’ market, while only a fringe scenario with a hard landing of the economy would revert the vacancy decrease trend (but this is not something we are anticipating).

As mentioned, we’re seeing green shoots for leasing demand, notably that office-based work is slowly reclaiming its status as integral to corporate success. This means new leasing demand through 2026 should look better than recent years, assuming no adverse economic scenario.

We also note that slower growth may signal a more mature market than 10-15-20 years ago. Companies now tend to keep their office space for longer periods, whereas relocations were previously favoured as project quality was improving dramatically. This means that the share of renewals will only grow over the longer term.

On a different note, we underscore that upcoming projects are testing significantly higher rents than their respective submarkets, in some cases well past current prime rents of around 22 €/sqm. Successfully leasing these projects could push pricing higher across much of the market, particularly as we’re already seeing somewhat more generalized upward rent pressure as of 2025. Furthermore, some of the large blue-chip tenants are only looking at upcoming buildings or at those that are fairly new (say, 5 years old at most), suggesting differentiated pressures on rents..

Overall, Romania remains an interesting proposition for service sector companies: it offers well-qualified employees with strong technical skills and foreign language proficiency at a fraction of European costs. Societal values may also drive longer-run investments. Anecdotal evidence and surveys (like the one ran by the World Values Survey) show Romanians tend to believe more in hard work than luck as a means to success compared to other countries. On the flip side, we must note that much of Romania’s office leasing demand is driven by fairly low-cost operations likely to see automation in the AI age – an aspect worth monitoring. Big “Software as a Service” companies were already rocked on the stock markets in January-February 2026 amid fears that AI automation could lead to major losses in business for these companies.