No new buildings have yet been handed over on the Budapest logistics real estate market this year

The Consultative Forum of Budapest Real Estate Consultants (BIEF, BRF) has published its industrial/logistics real estate market data for the first quarter of 2024. In the first quarter of 2024, the entire country modern industrial/logistics stock 5,103,595 m²made out

There are 3,522,155 m in the capital and its surroundings²while the regional domestic stock is 1,581,440 m². In the first quarter of 2024, no new real estate was handed over in the capital, and only one building was handed over in the regional markets in Debrecen, which is 5,650 m²made out

The vacancy rate In the first quarter of 2024, in the case of Budapest, it increased to 8.9%, which means an increase of 0.3 percentage points compared to the unutilized rate registered in the previous quarter, while in an annual comparison we measured an increase of 3 percentage points. At the end of the quarter, a total of 313,705 m² industrial-logistics area was vacant in and around Budapest. The regional domestic speculative real estate stock includes 103,085 m² we recorded an empty area, which corresponds to 6.5% underutilization. The national vacancy rate is currently 8.2%.

In the first quarter the total tenant demand the capital and its surroundings 90,875 m², which represents a 15% decrease compared to the volume registered in the same period of the previous year. The net demand without contract extensions is 78,275 m²in the first quarter, which represents a 35% increase compared to the first quarter of 2023.

In the first quarter of 2024, new rental contracts in and around the capital contributed 45%, while pre-leases contributed 25% to the total demand. Contracts for expansion accounted for 16%. The proportion of contract extensions fell compared to the high results of previous quarters, accounting for only 14% of rental contracts.

In the first quarter of 2024, BRF recorded a total of 23 rental contracts in the Budapest and surrounding market, 3,950 m² with an average transaction size. The number and average size of transactions showed similar proportions compared to the data recorded in the first quarter of 2023. Only three of the transactions exceeded 10,000 m²t. The majority of contracts were still signed in ‘big-box’ logistics parks.

The largest contracts of the first quarter were 16,000 m²were signed on In the regional markets, Raben 16,000 m² signed an advance lease for a new area in the InPark Tatabánya industrial park, while the largest contract in the Budapest and surrounding market is a new lease for 16,000 m²in CTPark Budapest West. THE net absorption taking into account the stock review in and around the capital in the first quarter of 2024 -15,145 m²-t, and on regional markets -12,285 m²made out

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