DTZ Research: Romanians cram within a working space of 11 sqm

People working within Bucharest-based offices cram within a space of around 11 sqm, while Bucharest is Europe’s cheapest city regarding the total occupancy costs, ranking after Budapest, Talin and Vilnius according to the latest office market research of DTZ real estate consultant.

February 2012

For instance, Romanian’s offices deliver a 11 sqm space utilisation per worker, at a prime rent of EUR 19 and a total occupancy costs of EUR 23. In comparison, offices in Poland delver 12 sqm for a working space, while Czech Republic deliver 14.8 sqm. The total occupancy costs for offices in Czech Republic are estimated at EUR 26.7. In the same time, DTZ’s ‘Global Occupancy Costs – Offices DTZ’s ‘Global Occupancy Costs - Offices’ report reveals that average occupancy costs per workstation in Europe increased (in local currency) by a mere 1 percent during 2011, as mounting concerns over the European sovereign debt crisis stalled occupier activity. As a result, occupier costs decreased across the majority of markets. Furthermore, many occupiers are focusing on cost control and efficient space use, rather than expansion. As such, space utilization standards have fallen, on average, by -2 percent. DTZ specialists expect Budapest to become the most affordable location in Europe by 2016, overtaking the Baltic states of Tallinn and Vilnius. In contrast, London West End will continue to be the least affordable market, with Geneva the least affordable on the continent. Other markets expected to experience increases of 4 percent are Dublin, London and Vilnius. Rome and Milan will see further decreases in cost, as the financial markets in Italy struggle to recover.