International advisory firm Cushman & Wakefield has summarised investor activity in the office real estate market in the first quarter of this year. During this period, deals worth EUR 248 million were signed in the sector, representing a 35% increase year on year.
The first three months of 2026 brought the strongest start to the year for office investment since 2022. Total transaction volume reached EUR 248 million, up 35% year on year and more than 83% above the average for the past three years. Market liquidity is gradually improving, supported by growing involvement from capital based in Central and Eastern Europe and increased activity among domestic investors, comments Maciej Rostropowicz, Senior Consultant, Capital Markets Poland, Cushman & Wakefield.
From January to the end of March this year, investors completed nine transactions, including three in Warsaw and six in regional markets. However, investment activity was dominated by the capital city, which accounted for 74% of total volume, mainly due to the acquisition of the Royal Wilanów complex by the Czech fund Wood & Co. for more than EUR 100 million.
Banks’ appetite for financing the office sector continues to follow two directions: attractive lending terms for prime buildings in Warsaw and good conditions for prime buildings in regional cities, alongside conservative parameters for older buildings, properties with vacancies or assets with short weighted average lease terms. New office space in Warsaw with single-digit vacancy, combined with the absence of further vacancy increases in regional markets, is driving a slight increase in transaction-side optimism, as well as the return of some investors from Western European markets, explains Mira Kantor-Pikus, Partner, Equity, Debt & Alternative Investments, Capital Markets, Cushman & Wakefield.
When financing the acquisition of older buildings, banks offer a tranche for decarbonisation measures to cover capital expenditure needed to bring the building up to standards meeting ESG criteria. There is also a much greater appetite among banks to provide loans for the acquisition of office buildings than for refinancing them. Appetite for construction financing is increasing, but remains strongly dependent on the level of pre-leasing, the quality of the developer and the planned exit strategy for the investment.
