Artificial intelligence companies are emerging as a distinct category of office tenant in Europe, concentrating primarily in London, Paris and Berlin, while Warsaw and Prague develop as secondary ecosystems, according to a new analysis by Colliers. The report finds that AI firms grow faster than most traditional occupiers, outgrow their premises quickly and prioritise proximity to universities, research institutions and skilled talent over rent levels.
In terms of building requirements, AI tenants demand more than flexible layouts and daylight. They also require high power capacity, advanced cooling infrastructure, fast connectivity and, in many cases, secure server facilities. Early-stage firms tend to settle in innovation districts before moving to central locations as they scale.
"For AI firms, what matters is where they can find people, not how much they pay per square meter. Building owners therefore need to ask themselves why top experts should come to their office space every morning. Winning landlords will be those who combine a prime location, strong digital and energy infrastructure and the ability to accommodate a tenant's rapid growth," said Josef Stanko, director of market research at Colliers.
No Central European city has yet entered the top tier of European AI hubs, but the region is establishing a presence. Warsaw is grouped alongside Dublin, Amsterdam, Zürich, Stockholm, Barcelona and Helsinki as a location with a favourable environment for AI development. Prague, Bucharest and Tallinn are building more specialised ecosystems, though Colliers assesses their development as insufficient to place them in the first or second tier. A broader corporate shift away from single dominant headquarters is benefiting the region, with companies distributing functions across multiple cities depending on available talent. "Large headquarters are being supplemented or replaced by smaller, function-focused offices across a wider network of cities. Tenants place greater emphasis on flexibility, shorter commitments and space tailored to specific operational needs rather than headcount alone," Stanko added.
Within the Czech Republic, Prague, Brno and Ostrava serve distinct roles. Prague attracts highly skilled functions such as financial management, compliance and strategic consulting. Brno, with its technical universities and established IT ecosystem, draws development and technology teams. Ostrava is gaining attention for roles in data analytics, automation, cybersecurity and shared services. "Czech cities are not yet competing with London or Paris for AI companies' headquarters. They are competing for their development, data and technology teams. Whoever has offices ready for high power loads, cooling and rapid tenant growth will have a head start once demand intensifies," said Stanko.
