Poland Tricity office take-up tops 100,000 sqm

At the end of 2024, Tricity’s office stock came to almost 1.07 mln sqm, representing a 1.6 pct year-on-year increase. Just under 19,500 sqm of new office space was delivered to the Tricity market last year, down by 41 pct year-on-year. Nearly 75 pct of this volume, or 14,500 sqm, was concentrated in two office buildings added to the Waterfront II complex in the third quarter of 2024. By contrast, the final quarter of the year saw no new office completions.

Development activity in Tricity has been on a downward trajectory since late 2021. At the end of December 2024, nearly 25,500 sqm of office space was under construction across just four office projects, down by 9 pct year-on-year and over 64 pct below the five-year average of 71,200 sqm. The entire development pipeline is concentrated in Gdansk. In total, nearly 80 pct of the office stock under construction has already been pre-leased or is being developed for owner-occupancy,
Michał Rafałowicz, Regional Director, Newmark Polska.

The largest ongoing office project is the PUNKT building in Gdansk, which is set to deliver 12,800 sqm of office space upon completion. Around 70 pct of this space has been pre-leased to Arla Foods Global Shared Services.

Looking ahead, with office availability in existing buildings remaining high and renewals accounting for 50 pct of total take-up, development activity is expected to stay subdued in the coming quarters. In addition, stricter regulations on building energy efficiency are prompting a reassessment of overall construction costs for office developments, which are already high.

Occupier demand in the Tricity region remains strong, with average annual office take-up for the last five years exceeding 100,000 sqm. 2024 saw more than 116,300 sqm transacted – the third-highest take-up among regional city markets across Poland, behind Krakow (266,800 sqm) and Wrocław (146,450 sqm). It also marked the second-highest level on record, following the peak year of 2023, when 143,900 sqm was leased,
Kaja Karbowska-Nowak, Associate, Newmark Polska.

In the fourth quarter of 2024, leasing activity in Tricity totalled 25,200 sqm, down by 37 pct from the previous quarter but up by 50 pct year-on-year.

Between January and December 2024, the take-up structure in Tricity was dominated by renewals which accounted for half of all deals, followed by new leases with a 32 pct share. Pre-lets, owner-occupier transactions and expansions made up 9 pct, 6 pct and 3 pct of the leasing total respectively. The strongest letting activity was recorded in Gdansk, which saw 95,800 sqm transacted, accounting for 82.4 pct of all leases. The remaining 17.2 pct, or 20,000 sqm, was leased in Gdynia, and just 0.4 pct , or 500 sqm, in Sopot. With its consistently attractive business environment, Tricity continues to attract start-ups and global companies alike. In 2024, take-up predominantly came from professional services (21 pct), IT (19 pct) and banking services (17 pct).