Tuesday, 14 October 2025
The slowdown in Romania’s technology industry has hit Bucharest’s office market, with total leasing activity falling by roughly one-third this year, according to data from Colliers and CBRE. While the market as a whole remains relatively stable, demand from IT and technology companies—once the sector’s growth engine—has dropped to its lowest level in several years.
Colliers’ latest analysis indicates that companies leased around 150,000 sqm of office space in the first nine months of 2025, with new demand—leases contributing to actual occupancy growth—falling to below 60,000 sqm. The consultancy attributes much of this decline to weaker activity in the IT and communications (IT&C) sector, which has significantly reduced its footprint compared to the pre-pandemic years.
CBRE’s Q2 2025 Bucharest Office Figures confirm a similar trend: total leasing volumes fell 35% year-on-year, with most transactions being renewals rather than new leases. The company also reports that the “Computer & Hi-Tech” sector recorded its lowest leasing activity in the past five years, reflecting global caution in technology hiring and expansion.
Before the pandemic, IT&C companies were responsible for a substantial portion of Bucharest’s office take-up—averaging between 35% and 45% of total leases between 2016 and 2019, according to historical market data. In 2025, that share has fallen sharply, though precise figures vary between analysts.
Outside the technology sector, leasing activity has been steadier. Colliers notes that demand from financial institutions, business services, and manufacturing tenants remains close to the multi-year average. Despite the overall decline in new deals, office landlords are finding some support from companies that are increasing employee presence in the office three to four days per week, reducing the amount of sublease space available on the market.
The supply side also remains tight. Bucharest’s modern office stock stands at roughly 3.4 million sqm, with a vacancy rate of around 12.5%, according to both Colliers and CBRE. With limited new completions and a shrinking development pipeline, available prime space is expected to remain in short supply.
Both agencies highlight that the limited pipeline could place upward pressure on rents, particularly for well-located Class A buildings. Prime headline rents have already seen mild increases, and further growth is expected into 2026 as inflation and construction costs keep development expensive.
Market observers agree that 2025 is a year of adjustment rather than crisis. While weaker tech demand has cooled the market from its record highs, the overall leasing landscape remains far from the downturns seen in previous cycles. “We’re seeing an office market that is recalibrating rather than collapsing,” says Victor Coșconel, Partner and Head of Office & Industrial Leasing at Colliers. “The IT sector is cautious, but other industries continue to underpin steady demand.”
Analysts expect a moderate recovery in the coming quarters if planned large transactions materialise and as employers continue to adapt their workplace strategies to hybrid work realities.
Sources: Colliers Romania – Bucharest Office Market Q3 2025 Update; CBRE Romania – Office Figures Q2 2025; CBRE Romania Market Outlook 2025.
