Tricity Office Market Slowdown

According to Knight Frank, Tricity's office market experienced a significant slowdown in developer activity, with no new buildings completed in Q1 2024. The total office space remained unchanged at 1.05 million sq m, primarily in Gdańsk (76%). Gdynia holds 21%, and Sopot 3%. Only 35,000 sq m is under construction, with 22,000 sq m expected to be completed by year-end. Demand for office space also declined, with contracts for just over 23,000 sq m signed, down 9% from the previous quarter. Gdańsk was the most popular, renting 18,800 sq m, mainly to the IT sector. The vacancy rate increased slightly to 13.4%, with Gdańsk at 11.3% and Gdynia and Sopot at 19.9% and 22.4%, respectively. Asking rents remained stable between EUR 11 and EUR 15.50/sq m monthly.