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From the Shade to the Limelight? |
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 Real estate advisors and tenants generally focus on Class A office buildings on today’s market. However, thanks to an intensifying competition and a changing market, the Class B and C market, which has for long been in the shade, are also gaining attention.
Offices of these two categories offer solutions for small and medium size enterprises, but sometimes multinational companies also choose them for their headquarters. Class B and C offices offer low prices and flexible lease conditions, making them very favorable for startup companies planning to grow quickly.
In its latest sequence of four reports, Colliers International investigates this somewhat neglected aspect of the office market. According to the study, currently there is a total 550,000 sqm Class B and C office space on the market that is included in the Budapest Research Forum (BRF) and monitored on a regular basis, while altogether there is a total Class B and C space of 1,186,000 sqm in Budapest. Just as in the case of Class A offices, the year 2009 will likely prove a difficult year, with a fierce competition in keeping tenants and maintaining a positive cash flow. Still the sector offers a wide range of opportunities that the Colliers reports deal with in depth.
(Source: Colliers International) |
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