Total demand on the Budapest industrial property market amounted to 212,750 sqm in Q2 2017, which is the highest quarterly volume ever on record. The Budapest Research Forum published its quarterly industrial market analysis.
Total demand amounted to 212,750 sqm in Q2 2017, which is the highest quarterly volume ever on record. Renewals accounted for 75% of the total take-up, while the share of new lease agreements made up 19%. Two pre-leases were signed during the quarter, totalling 10,980 sqm and representing 5% whereas the remaining 1% was generated by expansions.
BRF registered 24 industrial transactions in the second quarter, out of which five lease agreements were signed for more than 10,000 sqm. The average transaction size was 8,865 sqm in the quarter which is significantly larger than the typical deal size.
The vacancy rate declined by 0.4 percentage point q-o-q reaching a record low of 5.5% at the end of Q2 2017. In total 108,240 sqm is currently vacant and there is no scheme which offers more than 10,000 sqm available adjacent space.