According to “Office Occupier – Warsaw Office Market”, a report published by real estate advisory firm Newmark Polska, more than 85,000 sqm of new office space was added to the Warsaw market in the first half of 2025, with over 93% of this total delivered in the second quarter. Development activity fell to an all-time low, which is likely to result in limited new office availability in the next few years. Occupier demand softened slightly year-on-year, with transaction activity largely driven by regearing. Meanwhile, Warsaw’s vacancy rate edged up, while prime rental rates held firm at high levels.
Prime office stock in Warsaw stands at nearly 6.33 million sqm. This total includes four new office completions that contributed a combined 85,200 sqm in the first half of 2025. Notably, over 93% of this volume, or 79,600 sqm, came on stream in the second quarter of 2025, marking the highest quarterly level of new supply in the capital since the third quarter of 2022. Major additions in the second quarter of 2025 are The Bridge (47,000 sqm), Office House (27,800 sqm) – the first office building of the mixed-use complex T22, and the refurbished Nowa Bellona (4,800 sqm). All of these buildings are located in the City Centre West office subzone.
“2025’s total new supply in the capital city is expected to reach approximately 140,000 sqm, up more than 34% from 2024 but down 66% compared with the peak year of 2016, which saw over 407,000 sqm of new office deliveries across Warsaw. A vast majority (over 95%) of this year’s new supply is scheduled for completion in Warsaw’s central locations, particularly in the Wola district. Projects slated for delivery in the second half of the year include Studio A (24,000 sqm) and the revamped V-Tower (30,800 sqm) – both located in the City Centre West,” says Karol Wyka, Executive Board Director, Head of Office Department, Newmark Polska.
At the end of June 2025, office development activity plummeted to its lowest level since records began, with just over 129,000 sqm under construction. Importantly, nearly 90% of the development pipeline was concentrated in central locations.
“Looking ahead, construction activity is unlikely to see a significant rebound by the end of 2025 or in 2026, leading to limited new supply even until the end of 2027,” adds Karol Wyka.
Warsaw’s office take-up in the first half of 2025 totalled over 301,400 sqm, with activity roughly evenly split between the first and second quarters: 49% (146,700 sqm) versus 51% (154,700 sqm) respectively. Leasing activity in the three months to the end of June 2025 rose by 5.5% quarter-on-quarter but was down 4.5% year-on-year for the first half overall. Occupier demand in the first six months of the year focused on central locations, which accounted for 55% of all transactions during this period. With the shrinking availability of office space in buildings completed after 2015 and of large units over 4,000 sqm, tenants seeking larger offices either need to patiently wait for new office completions or increasingly choose to renegotiate existing leases, a notable trend in the current market.
Leasing activity in the first half of 2025 was dominated by renegotiations and renewals (43%), as well as new leases (38%), with the remaining 19% spread across owner-occupier transactions (9%), expansions (8%) and prelets (2%). The share of lease renegotiations and renewals in the three months to the end of June 2025 reached 59% – the second highest level for the Warsaw office market after the second quarter of 2024. Regearing activity during April-June 2025 was the strongest in Służewiec (nearly 78% of this zone’s total take-up), Mokotów (more than 65%) and the City Centre (nearly 62%). The most active tenants in the past six months were companies from such sectors as financial services (17%), IT (16%), manufacturing and professional services (10% each).
Warsaw’s office vacancy rate stood at 10.8% at the end of June 2025, up 0.3 pp quarter-on-quarter but down 0.1 pp year-on-year. This equated to nearly 682,700 sqm of unoccupied modern office space. Office buildings completed after 2020 offered just under 59,000 sqm, with one-third of that available for lease at The Bridge, delivered in the second quarter of 2025. Looking ahead, the vacancy rate is expected to gradually edge down due to constrained new supply and the withdrawal and repurposing of older office properties. Five office buildings totalling nearly 53,500 sqm have been taken off the Warsaw market in the year to date, including three with a combined area of over 21,000 sqm in the second quarter alone.
“At the end of the second quarter of 2025, prime monthly office rents were in the range of EUR 22-27 per sqm in the city centre and EUR 16-18 per sqm in non-central areas. Office landlords in top locations continue to enjoy the upper hand, with tenants having limited opportunities to negotiate rent discounts or secure attractive lease incentives. By contrast, landlords of older buildings with elevated vacancy rates are more likely to make concessions,” says Agnieszka Giermakowska, Research & Advisory Director, ESG Lead, Newmark Polska.
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