Record-Breaking Leasing Volume
Warsaw-based companies continued to actively seek modern office space. In Q2 2026, total leasing activity reached 283,000 sqm, marking the strongest quarterly result in seven years and exceeding the previous record of 258,000 sqm. The figure was also 83.5% higher than in the same period last year.
The largest transaction signed between April and June was a lease renewal by a confidential occupier at Senator in Warsaw's Central Business District, covering more than 23,000 sqm. Other notable deals included Frontex's lease renewal for 21,500 sqm at Warsaw Spire B and Visa Europe's new lease agreement for 17,300 sqm at The Bridge.
A Tale of Two Warsaw Office Markets?
As highlighted in the report, the surge in leasing activity was evident across both large and medium-sized office transactions. Building quality, location and technical specifications are playing an increasingly important role in occupiers' decision-making. The most sought-after office space is being absorbed quickly, prompting tenants to become more willing to compromise to secure suitable premises. As a result, owners of modern office buildings in central locations, particularly in the City Centre and Wola districts, continue to benefit from strong occupier demand.
– We expect the availability of modern office space in the most sought-after locations to continue declining. The market is increasingly operating at two different speeds. In central locations, landlords hold the stronger negotiating position, while outside the core business districts, higher vacancy levels continue to provide occupiers with greater choice and more flexibility in lease negotiations,” says Wiktoria Weilandt, Acting Director, Office Agency Department, BNP Paribas Real Estate Poland.
The limited supply of new office developments is prompting companies to renew existing leases more frequently. In Q2 2026, lease renewals accounted for 52% of all transactions, while new leases represented 44%. Pre-lets made up 3.6% of total leasing activity, reflecting occupiers' continued cautious approach towards committing to new developments.
Public Sector and Dual-Use Occupiers
An analysis of leasing activity by industry sector shows that the public sector remained one of the most active groups of occupiers over the past four quarters, accounting for 13% of all leased office space. This placed it ahead of the manufacturing sector (12%), IT sector (11%), and banking sector (10%).
According to BNP Paribas Real Estate Poland, public institutions are increasingly opting for modern office buildings that meet high technical and environmental standards, while also demonstrating a preference for long-term lease commitments. This trend is contributing to stable demand for high-quality office space across Warsaw.
The office market is also being increasingly influenced by companies developing technologies with both civilian and defence applications. The growth of these dual-use businesses is likely to generate additional demand for modern office space, particularly in locations offering strong technology ecosystems and well-established research and development capabilities.
Limited New Supply
New supply in the Warsaw office market continued to grow at a modest pace in the last quarter. Only 2,300 sqm of office space was delivered, with the completion of Przemysłowa 26, a project developed by Powiśle Nieruchomości.
Looking at the past four quarters, total new supply amounted to just under 49,000 sqm. In contrast, the development pipeline remains considerably more robust. More than 138,000 sqm of modern office space is expected to be delivered in Warsaw by the end of 2028, with 63% of the upcoming stock located in central districts. The largest projects currently under construction include AFI Tower (50,000 sqm), Upper One (35,000 sqm) and Skyliner II (23,000 sqm).
Shrinking Availability of Office Space
The volume of available office space in Warsaw decreased significantly in the second quarter, falling to 529,000 sqm, down 22% year-on-year and 11% quarter-on-quarter. The average vacancy rate declined to 8.5%, confirming the market's continued absorption of available office stock.
Availability remains particularly limited in central locations, where the vacancy rate stands at just 4.8%, compared with 11.8% in non-central districts.
Among the submarkets with the highest share of vacant space are the Żwirki i Wigury Corridor, where the vacancy rate is close to 20%, and Służewiec at 17%. In contrast, the lowest vacancy levels were recorded in East Centre (3.8%) and Ursynów and Wilanów (2.7%).
For occupiers, location is not the only consideration. The age and quality of buildings are becoming increasingly important, with offices completed within the last five years recording a vacancy rate of just 2.1%. This highlights the strong and sustained demand for modern, high-quality office space.
Rental Growth May Be on the Horizon
Asking rents in Warsaw have remained broadly stable. However, the limited pipeline of new developments, declining availability of office space in the most sought-after locations, and persistently strong occupier demand may create upward pressure on rents over the longer term.
“Growing competition for the best office space is also beginning to translate into pricing. Prime headline rents in Warsaw's city centre currently reach EUR 30.00 per sqm per month, while outside central locations they stand at up to EUR 19.50 per sq m per month. We expect rents in the most prestigious locations to exceed the EUR 30 per sqm threshold later this year,” says Ewa Nicewicz, Senior Consultant, Office Agency Department, BNP Paribas Real Estate Poland.
