The scarcity of quality supply and the lack of newly built space for lease lead to the situation, where the demand for office space exceeds the available supply. The share of vacant space in the Moscow office market came to 5.8% at the end of Q3 2024. The acute shortage of supply in the office market is conducive to persistent demand for office space lease and purchase in off-plan office buildings. The vacancy rate in the projects due to be commissioned till the end of 2026 averages 34%.
The average rent growth for nine months amounted to 4.5%. For the nearly seven-year period the average market rental rate inside the MKAD on vacant supply in exposure surged by 30%; outside the MKAD - by 77%.
In the present-day market situation the rent will be appreciated till the year’s end not only on current vacant options; the commercial terms on units with expiring long-term lease agreements will be renegotiated as well. The average growth for projects in highest demand may reach 15-20% per annum.