Corporate Expansions Account for 49% of Contracted Office Space in Lisbon

15 March 2018

8,400 square meters (m2) of new office space was contracted in Lisbon in February, 38% less than in the same period last year (13,592 m2). The data come from Savills Aguirre Newman and show that in the first two months of the year, 13 transactions were concluded where companies were expanding their footprint in the city. The 10,845 m2 of area contracted by these companies represent 49% of the office space allocated in the capital.

“The market remains dynamic and bullish, as can be seen by the allocation of office space to growing companies,” Teresa Cachada, an analyst at Savills Aguirre Newman’s consulting department, said in a statement.

In total, since the beginning of the year, 31 operations were finalised, the same amount as in February of last year. The most significant number of transactions, a total of seven, occurred in the CBD zone (Zone 2: Av. da República, Av. Duque de Loulé and the Amoreiras area). On the opposite end, the Secondary Zone (zone 4: Av. Infante Santo and Av. 24 de Julho) saw no new transactions.

Regarding the geographical distribution of the allocated meterage, the Emerging Zone (zone 3: from Campo Grande to 2nd Circular, Benfica, Praça de Espanha and Sete Rios), saw deals totalling 5,321 m2 or 24% of the total. It is worth noting that 71% of the transactions were for areas exceeding 300 m2. Just nine fell below that figure.

“Due to the lack of new office space, the entire area contracted in the first two months of 2018 was in existing office buildings,” the consultant stated.

Original Story: Idealista

Photo: Benjamin Child / Unsplash

Translation: Richard Turner