Report Q1 2020
This report provides a detailed analysis of specific real estate markets in Bucharest: office, retail, industrial and residential. It offers information on the economic situation in Romania, including investment climate. For the first time, the report includes also information about residential market.
After the strong demand in the last quarter of 2019, Q1 experienced an almost 50% crunch in the demand for office spaces in Bucharest. Total gross transaction volume reached approx. 55,000 m². That is nearly half the volume recorded in Q4 2019, as well as in Q1 2019. The average transaction size in Q1 2020 was almost 1,500 m².
In the first quarter of 2020 the residential market followed its ascending trend consolidated in the last 5 years, with positive evolution registered for each parameter until March 16th , when the COVID-19 State of Emergency has been officially declared in Romania and the market activity has been significantly diminished. Starting with the second half of March, a high level of uncertainty on the entire economic environment decelerated the residential market dynamics, with developers having their construction and sales activities slowed down due to the quarantine measurements, while the buyers shifted towards a wait-and-see approach.