In Serbia, the escalating demand for business premises continues to drive rental prices upwards, making leasing space in Belgrade’s city center a near impossibility for small local entrepreneurs, while foreign and large-scale companies expand their presence. But what fuels this surge in demand for offices across the country?
The bustling business hub of Niš witnesses a surge in office space tenants, particularly in the “Kalča” business center. Rental rates range from five to twenty euros per square meter, with smaller units being highly sought after and frequently leased out, according to RTS.
Sandra Blažić of “Blažić Nekretnine” notes that large corporations typically seek extensive spaces, posing a challenge as these entities often opt to construct purpose-built facilities to meet their specific needs.
Leskovac residents face a shortage of commercial space, viewing construction as a means to engage young workers. In Kraljevo, investors are increasingly erecting business premises, with tenants paying between four to ten euros per square meter.
Ana Gudić of “AGS Nekretnine” highlights the emergence of new office buildings in Kraljevo, noting a growing demand for flexible office solutions as more individuals venture into entrepreneurship or adopt remote work.
In Belgrade, the epicenter of construction and demand, rental rates soar from 20 to 100 euros per square meter in prime locations. Miloš Grdinić of “Delta Real Estate” underscores the dominance of New Belgrade in the market, with a recent surge in activity observed in the city center, where aging structures undergo refurbishment, elevating them to Class A standards.
However, builders face challenges in securing locations for new office developments, particularly in the capital, where large plots are scarce. Office spaces are predominantly leased by foreign companies and financial institutions.
Construction engineer Katarina Gajić of “Real Estate” emphasizes the significance of amenities like acoustics, furnishings, heating, ventilation, and air quality in office space selection. The tenant mix, whether developers, IT firms, or other entities, also influences preferences.
Despite the burgeoning demand for office space, Belgrade grapples with a shortage of available properties to meet market needs, leading to escalating rental rates. The scarcity of affordable options in the city center poses challenges for small businesses, while large corporations and foreign entities continue their quest for suitable premises. Despite these challenges, the Serbian market remains dynamic, with high demand persisting post-COVID, signaling a promising outlook for the future.
