According to Savills European Office Occupancy Rates Report, Prague has, for the first time since the pandemic, surpassed the 60% threshold for physical office occupancy, reaching 61% in October this year.
Compared to 2022, occupancy has increased by an impressive 23 percentage points. Despite this rise, Prague ranks third in Europe, following Madrid (66%) and second West End in London (63%). Wednesday is the busiest day for Prague offices, with physical occupancy reaching 66%. While less than half of employees in European cities go to the office on Fridays, Prague shows an upward trend with 53% occupancy on that day.
"Before the pandemic, physical occupancy was around 70% and now we expect it to stabilise at around 60%. Survey results indicate that both companies and employees are finding a balance at this level between working in the office and from home," says Pavel Novák, Head of Office Agency at Savills, and adds: "The return of employees to offices is also supported by a gradual improvement of the work environment across the market, with a large number of companies opting for positive motivation and making substantial investments in their office spaces. However, we are also observing that more and more companies are adopting stricter hybrid work policies.
Madrid’s office occupancy rates continue to outperform other European cities, supported by a higher proportion of residents living in the city centre, shorter commute times and a positive office atmosphere. London-based companies are focusing on having their employees in the office four days a week. Tech companies are more lenient in this regard, although they are also starting to require more frequent in-office attendance from their employees.
