Location The Serbian office market is solely focused on Belgrade. Office stock is mainly split into two locations: the traditional core of Old Belgrade, referred to as “downtown”, and New Belgrade across the river Sava. Demand and vacancy Demand is still strong for office space as many companies are expanding or upgrading the “apartment” offices to proper office standard stock. The main demand is coming from international companies. Domestic companies often opt to buy real estate or to use the “apartment” office stock.
SourceKing Sturge, January 2007The amount of immediately available offi ce space on the Belgrade market is rising due to the amount of new development under way. We estimate that the vacancy is around 5 to 7% and will not rise above until a new large supply comes up for occupation. Rents Prime Class A rents stand at €21/m²/month in Old Belgrade, and €18/m²/month in New Belgrade. Developers are now starting to differentiate their product, which will be characterised by more balanced supply at varying rental levels.
Occupational Market Moreover, the European Business Centre was sold for 25 million euro in 2006 to NLB. NLB is using the building as their main headquarters in Belgrade. Although, they will use it as a main headquarters, they will have some extra space to lease. There beginning offer price is 22 euro/m2/month and it has been on the market for more than a year so far and they have not been so successful. Part of the reason, could be that they are not using a professional leasing agent and it may not be a top priority for them.