Q4 2025
4,462k sqm +0.14% yoy
56,105 sqm
YTD: 217,644 sqm
Completion
50,377 sqm
YTD: 55,437 sqm Net Take-up
After only marginal growth in the first three quarters of the year (+0.3% yoy), Hungary’s GDP growth in 2025 is projected to reach approximately 0 5%, according to Colliers Inflation eased to 3 3% in December, with average inflation of 4 4% in 2025, driven primarily by service-related costs and energy prices In mid-January, the EUR/HUF exchange rate stabilised at around 386 following a period of strengthening, largely supported by Hungary’s still elevated interest rate environment Despite subdued economic performance, the labour market remains relatively tight, with the national unemployment rate standing at 4 4% at the end of November
Source: Colliers, BRF Spec. Vacancy 15.9% -1.61 pps. yoy
Overall tenant activity stagnated in 2025, mainly due to large governmental owner-occupied transactions, with total leasing volume increasing by only 0.7% year-on-year (505,848 sqm compared to 502,151 sqm in 2024) However, net take-up which reflects new demand rose by 14 1% year-on-year, reaching 217,644 sqm versus 190,730 sqm in the previous year The increase in net take-up was primarily driven by a higher volume of pre-leases, largely attributable to one major transaction
In terms of deal structure, lease renewals accounted for just 41.9% of total transactions in 2025, representing a year-onyear decline of 15 3 percentage points At the same time, the share of net take-up increased by 5 percentage points, reaching 43%
The total market vacancy rate declined in Q4 2025, falling by 0 9 percentage points quarter-on-quarter to 12 5% This decrease was primarily driven by positive net absorption of 84,013 sqm. On an annual basis, the vacancy rate fell by 1.6 percentage points The speculative vacancy rate stood at 15.9% at the end of Q4 2025, down by 0.9 percentage points quarter-on-quarter and 1 6 percentage points year-on-year
Looking ahead, the total speculative office pipeline currently under active construction and scheduled for delivery by the end of 2027 is limited to 87,762 sqm The Váci Corridor dominates this pipeline, accounting for 73% (63,900 sqm), driven by projects such as H2O Phase 2 and Centerpoint III The remainder consists of smaller-scale developments distributed across other parts of the city
No new speculative office buildings were completed in Q4 2025; however, the owner-occupied Dürer Park I–II scheme was delivered during the quarter Limited new development activity is further underscored by the fact that only two speculative office schemes were completed in 2025: the Rhodium Office Building (2,807 sqm, 67.5% vacant) and Wagner Palace (2,253 sqm, fully let)
Rental levels remained broadly stable, with only marginal increases observed across most categories Prime headline rents stood at €25 5/sqm/month at the end of the quarter Over the past year, newly delivered office buildings achieved average headline rents in the range of €19–21/sqm/month Average rents for Category “A” buildings reached €17.1/sqm/month, while Category “B” stock averaged €12 8/sqm/month, reflecting the continued premium placed on high-quality assets and modern specifications.
Source: Colliers,
Office Market Snapshot
Outlook
Developers are responding with increased caution, prioritising pre-leased or owner-occupied schemes over new speculative developments. As a result, there are fewer new office areas available on the market, reinforcing the structural shortage of modern, efficient space in sought-after locations
At the same time, the office market continues to benefit from the ongoing new market entry of the BSC sector, which remains an active source of demand This demand is increasingly driven by higher value-added R&D and technologyrelated functions rather than purely transactional services. The trend is further supported by growing interest from Asian occupiers, underpinning demand for modern, well-connected, and energy-efficient office space.
A key development is the repositioning of older office stock to align with evolving tenant requirements, stricter ESG standards, and in some cases the functional conversion of obsolete buildings to alternative uses
In 2026, Hungary’s office market is entering a period of adjustment, as ongoing governmental relocations are expected to release a significant volume of older, refurbishment-required office space back onto the market, particularly in central Budapest. While this process is likely to temporarily inflate vacancy levels, the availability of new, high-quality space will remain limited, as fewer new schemes are being delivered due to the constrained development pipeline and the lack of speculative projects
KRISTÓF TÓTH
Head of Research, Hungary Kristof.Toth@colliers.com
MIKLÓS ECSŐDI
Head of Occupier Services, Hungary
Miklos.Ecsodi@colliers.com
KATA MAZSAROFF
Managing Director, Hungary
Kata.Mazsaroff@colliers.com
