Page 27 - bne_Magazine_May_2018_print

bne May 2018 Special report I 27
BRICKS & MORTAR: Take up of office space
in Moscow nearly doubles in 1Q18
Ben Aris in Berlin
The take-up of new office space in Moscow nearly doubled (up 89%) in the first quarter of this year as Russia’s real estate market comes back to life on the back of the ongoing economic recovery, according to a report compiled by real estate consultant JLL.
Some 312,000 square meters (sqm) of new space was taken up by clients in the first three months of this year – the highest volume of take-up since 2013 JLL said.
Trading companies surpassed the traditional leaders – banks and finance companies – in terms of the kind of cli- ent taking new office space and account- ing for just over a quarter (28%) of the deals. In second place were manufactur- ing companies, with 20%.
Among the largest deals in the first quar- ter of 2018 were the X5 Retail Group purchase of the Oasis Business Centre (9,700 sqm), Stroytransgaz in Vereis-
Technology’s lease in the VEB Arena. If you include transactions that are still
at the negotiation stage, we expect the overall 2018 take-up at about 1.4m sqm,”
"The take up of new office space nearly doubled in the first quarter of this year"
kaya Plaza BC (8,800 sqm), Skylight BC (4,500 sqm), and Mistral in Poklonka Place BC (3,700 sqm).
“The declining vacancy [rates] and an expected start of rental growth this year support interest in relocations. The second quarter has already started with the largest deals of the year such as oil distribution company Transneft
said Elizaveta Golysheva, Head of Office Agency, JLL, Russia & CIS.
Russia’s economy is growing again, albe- it at a very modest pace of 1.5%-1.8% but at a corporate level the best compa- nies are doing very well as the process of consolidation continues, caused by tightening demand that favours large companies. And as the big companies
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