Higher rent for an office may pay off

The office market is experiencing a divide, with high-quality offices in demand while poorer locations struggle with vacancies. Employers are increasingly questioning remote work efficiency, leading to a preference for well-located offices. Despite high relocation costs, companies are willing to move for better spaces. The supply of modern office space in Warsaw is historically low, with a vacancy rate of 7.9%. Developers are focusing on mixed-use properties to attract diverse users. In regional markets, vacancy rates are higher, and demand is shifting as the growth of shared services slows. The rental prices for prime office spaces are expected to rise significantly.