Colliers International is conducting a series of reports concerning the situation on office market in regional cities in terms of their BPO sector potential.
Cracow is second only to Warsaw in terms of the biggest office space market in Poland. According to Colliers International's results, this city currently offers 487 000 msq of modern office space and additional 110 000 msq is still under construction. The capitol of Lesser Poland has the lowest index of vacancies from all regional cities estimated at 2,9 percent.
The cost of one meter square of office space in Cracow fluctuates between 13 and 14,5 Euro a month. In the first six months of 2013, the volume of transactions on Cracow's market closed on 55 000 msq. Due to the low availability of free space, pre-let transactions along with renegotiations of deals dominated with 39 and 18 percent respectively.
As much as 80 percent of transactions in 2013 concerned companies from BPO sector. The biggest leaseholders in this branch in Cracow are AAC Lufthansa, Amway, Delphi Automative, Philip Morris and Shell.
Until 2015 the experts predict that the volume of office space will increase to the level of about 720 000 msq. The biggest investments currently under construction are Kapelanka 42 project (28 400 msq, Skanska), two next phases of Quattro Business Park (25 000 msq, Buma Group) and Orange Office Park (18 300 msq, East - West Development Office).
Cracow is and will remain one of the most important office markets in Poland especially for BPO, ITO and SSC sector's leaseholders. The report about Cracow, as well as articles concerning 7 other locations, prove the attractiveness of Polish regional cities. We believe, that they will still attract foreign leaseholders and support the development of companies present on Polish market - comments Paul Blackman, International Director, Head of BPO sector's leaseholders service department in Eastern Europe in Colliers International.
Full report available in PDF file below.
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