In the first quarter of 2019, two new phases were handed over on a total size of 23,740 sq m at Airport City Logistic park and Prologis Park Budapest Harbor.

The total modern industrial stock in Budapest and its surroundings stood at 2,200,250 sq m at the end of Q1 2019.

Total demand amounted to 83,680 sq m in Q1 2019, marking a 19% decrease from the figure noted in the same period last year. Lease renewals accounted for 57.9% of the quarterly volume, while the share of new leases was 19.9%. Expansions stood for 3.2% of the quarterly volume. Six pre-lease agreements were signed in the first quarter, representing 19% of the total demand.

25 leasing transactions were recorded in the first quarter, out of which only one agreement was signed for more than 10,000 sq m. The average transaction size was 3,347 sq m during the quarter. 96% of the total leasing activity was recorded in logistics parks, and only three transactions were registered in city logistics accounting for 4% of the total demand in the investigated period.

The largest transaction of the quarter was a renewal at Prologis Park Budaörs on 27,820 sq m. The largest pre-lease agreement was signed for a hall at CTPark West on 8,830, while the largest new lease covered a 6,110 sq m area at CTPark Budapest East Üllő. The largest expansion deal was registered at Citypoint9 on 1,500 sq m.

The vacancy rate increased by 0.7 pps q-o-q, to the current level of 3.1%. At the end of the first quarter a total of 67,620 sq m stood vacant, and only three existing schemes had more than 5,000 sq m of available warehouse space.

Net absorption totalled 5,210 sq m in the first quarter of 2019, which was a corrected figure due to minor area revisions in one of the logistics parks.