In the first quarter of 2025, the total stock of modern office space across Poland’s regional markets reached approximately 6.77 million square meters. New supply during this period was minimal, with only one project completed – Dymka 188 in Poznań, delivering just 2,400 sqm of office space.
Construction Pipeline and Development Activity
The volume of office space under construction remains limited, with around 80,000 sqm scheduled for delivery by the end of the year. Kraków and Poznań continue to lead regional markets in terms of development activity.
Demand and Vacancy Rates
Total demand for office space in Q1 2025 amounted to approximately 177,000 sqm, with Kraków and Wrocław accounting for 60% of this volume, underscoring their importance as key regional hubs.
Renegotiations dominated market activity, comprising 48% of total leasing volume, while new lease agreements made up 40%.
The overall vacancy rate across regional office markets stood at 17.5%, marking a slight quarterly and yearly decrease of 0.3 percentage points. However, a significant 1.18 million sqm of space remains unoccupied, with the highest vacancy rates observed in Łódź (22.3%) and Katowice (21.1%).
Tenant Activity by Sector
- IT Products and Services led demand, accounting for 18% of leased space.
- Business Services followed at 16%, and Manufacturing at 14%.
By city:
- Kraków led the way with 32% of total demand,
- followed by Wrocław (25%),
- Tricity (15%),
- and Katowice (10%).
Rental Rates
Rental rates in prime office buildings varied by location:
- Kraków: €13.00–€18.00/sqm/month
- Wrocław: €14.00–€18.00/sqm/month
- Tricity: €14.00–€16.50/sqm/month
- Katowice: €12.50–€16.00/sqm/month
Outlook: Moderate Vacancy Decline Expected
Looking ahead, the limited pipeline of new office supply may lead to a gradual decrease in vacancy rates across regional markets.
“While supply remains constrained, higher vacancy rates in existing buildings—compared to Warsaw—offer tenants greater flexibility during lease negotiations. Despite a potential supply gap, the current market environment still favors tenants, which reduces the impact of the space shortage in regional cities compared to the capital. However, securing large, new office space remains a challenge. We expect lease renegotiations to continue dominating tenant activity in the regional markets,”
explains Maksymilian Sobczak, Director, Office Agency.
