Yearly Archives: 2015

The real estate investors are looking for clear requirements concerning the in office buildings in Sofia. At the same time the companies that are looking to outsource their business to the capital of Bulgaria or to relocate their office in Sofia to a bigger one are paying greater attention to the facility management and the technical standards. There is a great interest towards the office projects in Sofia that are certified according to the international standards like BREEAM, LEED, etc.

Currently in the city of Sofia the side that is setting the rules is the one of the tenants. The companies that are looking for office premises in Sofia show interest in high quality office buildings which are energy-efficient built with modern materials and according to the latest technologies. The requirements are becoming more and more and that means better working environment for the employees.

Besides being efficient, the modern offices in Sofia should also have a good structure that allows for the premises to be rented by different companies working in various spheres. The companies that are interested in these offices of class AA in Sofia are mainly companies from the IT and the outsourcing sphere, which are mobile and open to changes. These companies are also interested in the way the office building looks like, in the design and the façade of the building. The organization of the common area is also of great importance.

The intensive increase in the outsourcing industry in Bulgaria has led to a great interest in the office premises in Sofia. The main demand is for offices of class A, located close to “Tsarigradsko Schousse” Blvd. and the Sofia Airport, the Business Center Sofia and “Bulgaria” Blvd. The available office premises of class A in Sofia for 2014 have decreased in half compared to the year before that. The serious demand for offices and the lack of many projects for business centers have led to that situation.

The main companies that are active on the market of offices are coming from the outsourcing sphere. Almost all of them expect increase in their income for 2015 and around 60 % plan to increase the number of their staff with 100 to 200 new employees. Approximately 40 % of the companies are planning to change their office and move to a larger one. The main factors for choosing a new office premise in Sofia are the location, the expenses, and the availability of parking area. There is strong interest towards several new office projects in Sofia, namely – Capital Fort, Kambanite Business Center, Sofia Airport Center.

The recovery of the Sofia office market in 2014 and in the first half of 2015 is easy to see. The percentage of the rented office premises in Sofia in 2014 has gone up with 42% compared to the year before that. This means that in 2014 the number of the rented offices has been around 154 000 sq.m. At the same time the percentage of the available offices in Sofia city has dropped to 26% in 2014. The main interest is towards the Sofia offices of class A, which are in the focus of attention of the outsourcing and IT companies, which are looking to relocate their business to Bulgaria. The average rental levels are around 10 and 13 Euro/sq.m. with a tendency to go up.

At the same time the office market in Sofia is coming with new projects for business centers including Capital Fort Business Center, the office center next to Bulgaria Mall, Trade Center Europe, Sofia Airport Center, etc. The interest of the outsourcing companies is provoked by the offices of class A, the young professionals in the country with knowledge of foreign languages, etc.

Several major projects for business centers are in the focus of attention in Sofia city and their development is strictly followed by the real estate agents. Which are these projects and what is to be expected?

Capital Fort – the business center is almost ready, expecting to get certificate for habitation soon. It is believed to be the tallest building in Sofia with 126 m of height and 42 000 sq.m of office premises. Capital Fort is among the significant office buildings in the capital, with elegant architecture and strategic location on Tsarigradsko Schousse Blvd. The new business center in Sofia will have offices of class A, trade area, underground parking zone with 670 parking lots, etc. The building will be certificated according to the criteria for green buildings BREEAM.

City Tower – located in the heart of the capital on Macedonia Square, this business center will offer 55 sq.m of office premises and trade areas, as well as six underground parking levels in Sofia. The business center will be constructed using the top down method. And is expected to be ready in a period of two years.

San Stefano Plaza – the construction of the multifunctional complex goes fast. The new project will feature 56 000 sq.m of area including offices and residential units, shops, sports center and huge underground parking zone. In the eastern part of San Stefano Plaza will be located a small office building.

Sofia Airport Center – the start of the second phase of the complex will be by the end of 2015. The new office building will offer 25 000 sq.m of area and is expected to be certified according to the LEED Platinum standards.

Trade Center Europe Building 1 – that is the last of 15 buildings located near the airport. It has 156 800 sq.m. of area including offices and storage zones, shops, two-level restaurant and a multifunctional sports hall. The office building will be certified by the ecological system BREEAM.

Millennium Center – located near the National Palace of Culture and expected to be ready in two years. It will feature a large trade center on five levels, a five-star hotel, SPA center, restaurants, and level a helicopter platform. There will be an office building as well with 24 floors and a third building occupied by luxury apartments.

Expo 2000 Office Park – new office building with LEED Platinum and DGNB Gold certificates. It features one 8-storey building and one 3-story building and many facilities.

Sofia is a busy city with cosmopolitan atmosphere and as such it tries to offer modern office buildings. The business centers in Sofia however are almost fully rented with not many projects for office buildings waiting in the pipeline. Those that have been recently released such as Infinity Towers and Capital Fort offer a great solution in terms of quality, energy efficiency, aesthetics, fast proximity to the center of the city and the rest of the districts. Among the other factors that are of great importance for the optimal functioning of each modern office building are the light, acoustic and spacious factors, the excellent infrastructure of the area, the availability of parking lots, the low exploitation expenses, etc.

The good news is that the market of office premises is in stable progress with more than 40% increase in the office premises being rented out in 2014 compared to the year before that. The main engine that drives that tendency is the interest towards offices from class A, which are on demand by the international companies in the outsourcing and the IT sector. Currently in Sofia are under construction 124 000 sq.m of offices with many projects being restarted.