JLL: 2020, record year for real estate, with new projects of 1.2 million sqm

By Emea Riga
Real estate developers announced new projects of 1.2 million sqm in 2020, a new record of new deliveries of modern industrial, office and retail spaces, according to the latest “Bucharest City Report” published by JLL.
“Continuing the very good evolution of last year, 2020 reconfirms the interest of real estate developers and potential tenants for new projects, both industrial parks, as well as office buildings and shopping centers. The important deliveries announced for 2020 respond to at least as large demand and thus contribute to healthy growth, which will ultimately benefit all market players. On the other hand, considering that real estate investments are generally made following a long-term vision, they also denote companies’ confidence in the future of the local market and the economic perspective of the country, ”said Alexandru David, JLL Romania Research Analyst.
The engine of the development market will be this year also the logistics and industrial segment, where the projects to be completed amount to over 830,000 square meters, respectively 68% of the total. Thus, the stock will exceed a new psychological threshold of 5 million square meters, reaching 5.29 million square meters. In 2019, developers delivered 650,000 square meters of modern industrial and logistics space nationwide. Thus, at the end of last year, the modern industrial stock in Romania reached over 4.46 million square meters.
In 2019, developers delivered 650,000 square meters of modern industrial and logistics space nationwide. Thus, at the end of last year, the modern industrial stock in Romania reached over 4.46 million square meters.
In 2019, the office stock in Bucharest increased by 282,600 square meters, to almost 3 million square meters. By 2020, developers have announced they will complete projects with an area of 205,000 square meters. This represents about 73% of the area delivered in 2019, a record year from this point of view.