Market expectations suggest that investor activity in Hungary’s commercial real estate sector could increase this year. According to the international real estate consultancy Colliers, this trend is mainly driven by improving investor sentiment and the growing presence of foreign capital from Asia.
The investment outlook for this year appears more positive than in 2024. In the office market, lease renewals dominated in 2024, accounting for almost 60% of total leasing volume, while new leases declined by 20% compared to the previous year.
The total office stock in Budapest has reached 4.456 million square meters, with an average vacancy rate of 14.1% and a speculative vacancy rate of 17.5%. The vacancy rate is expected to peak in 2025. Additionally, Colliers forecasts stable demand in the office market, as tenants are reconsidering whether to retain or even expand their office spaces.
In the industrial real estate sector, total stock reached more than 5.5 million square meters in 2024, with 3.7 million square meters located in Budapest and 1.8 million square meters in rural areas. According to current data, an additional 587,300 square meters of new commercial space is expected to enter the market by 2026, with 43% already pre-leased. The vacancy rate in Budapest has decreased to 7.9%, while in rural areas, it has slightly increased to 6.8%.
All these indicators suggest a strong market, with high demand for logistics and industrial properties. Transport corridors are attracting increasing interest, and Asian logistics and manufacturing companies are also turning their attention to the region.