Office take up totals 116.000 m² in Madrid

Office take up totals 116.000 m² in Madrid

Although the data indicate an annual drop of 10% in the total surface area taken up by businesses, the consultancy stress that the number of contracts below 15 €/m2, the majority of the market, went from 66% in the first trimester of 2016 to 55% at the end of March, while the higher rent ranges (≥25€/m²/month) increased from 6% in 2016 to 8%in 2017.

We notice that lower rent transactions have reduced, and those in quality properties, which are well located with high rents, have increased,” explained Ana Zavala, Director of the Agencia Oficinas at Savills, who added that, “It is a sign of a healthy market and a good indicator of the development of companies, not just economically. It also reflects the implementation of new ways of working, where innovation and the recognition of talent are fundamental factors.

According to the report, the average surface area has gone down slightly in respect of the same period of 2016, with a tendency somewhat to go down from 2013, though since 2010 there has been a clear improvement in space efficiency in larger size businesses. Regarding the number of transactions, activity has been similar to 2016, just 3% less, and up 10% compared to the fourth term of last year, when it is usual to have a drop in results.

Signs of growth in rents, with an average leaning towards properties with large firms installed, over 16 €/m²/month, for the first time since 2011, have favoured the increased in theoretical values, which have risen both in prime and secondary zones, within and outside of the M-30, at 28.50 €/m²/month the theoretical rent in prime offices in the business district, 6% more than the same period the previous year.

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