At the end of Q1 2025, the total modern industrial stock in Hungary amounted to 5,700,725 sq m, reflecting an increase from the previous quarter, due to new completions and size adjustments. Modern industrial stock in Greater Budapest totaled 3,805,290 sq m, while the stock of Regional Hungary added up to 1,895,435 sq m.

In the first quarter of 2025, the speculative industrial/logistics stock in Greater Budapest expanded by 51,775 sq m with the completion of two new buildings, one each at HelloParks Páty and East Gate Business Park. In the regional markets, three additional developments were completed, totaling 48,525 sq m. Altogether, new deliveries in the capital and regional areas increased the national stock by 100,300 sq m.

The vacancy rate in Greater Budapest increased to 10.5% in Q1 2025, up from 7.9% in Q4 2024 and 8.9% a year earlier (Q1 2024). At the end of the quarter, a total of 398,365 sq m of logistics space was vacant in Greater Budapest. Outside the capital, vacant areas reached 163,505 sq m, corresponding to a vacancy rate of 8.6%. The nationwide vacancy rate stood at 9.9% as of Q1 2025.

Total demand in Greater Budapest amounted to 82,370 sq m in Q1 2025, a decline of 9.4% year-on-year. Through the first quarter of 2025, net take-up excluding renewals equaled 40,065 sq m.

In Greater Budapest, new leases accounted for 23% of the total leasing activity in Q1 2025, while lease renewals represented 51%. Expansions accounted for 7%, while pre-leases represented 19% of the total.
The largest transaction of the first quarter was a renewal of 11,590 sq m in Prologis Park Budapest – Sziget in Greater Budapest, while the largest transaction in the regional market was a 11,540 sq m new lease in Miskolc.

In the first quarter of 2025, 26 leasing transactions were registered in Greater Budapest, with an average transaction size of 3,170 sq m. Compared to the previous quarter, the number of transactions decreased.  Consistent with previous years’ trends, the majority of leases continued to be concluded in big-box logistics parks.

In Q1, the adjusted net absorption in Greater Budapest turned negative, totaling -48,340 sq m. In the regional markets, the adjusted net absorption remained positive; however, at the national level, the overall figure stayed negative at -24,880 sq m.

 

BRF