OVERVIEW
After a promising first half, which indicated a potentially more active investment market in Romania in 2025 compared to the previous year, Q3 saw a slowdown in activity (€44.5 million), with modest prospects for the remainder of the year. The challenging global geopolitical environment, along with local factors such as economic pressures, limited office deliveries, and a concentrated ownership structure in the industrial sector, resulted in restrained transactional volumes, with several deals postponed to 2026. The final quarter is expected to bring total investment activity in 2025 to around €700–750 million.
Leasing activity on Bucharest’s office market maintained the same pace in Q3 2025 as in the previous six months and remained subdued, with volumes comparable to those seen during the pandemic period. With no new completions recorded this year, apart from the refurbishment of Victoriei 222, a nearly 5,000 sqm GLA building located in CBD, development activity is expected to gain momentum in 2026–2027, when new projects are set to add approximately 100,000 sqm of new office space to the Bucharest market.
The Romanian industrial market continued to perform strongly in Q3, driven by robust demand from retailers and logistics operators, alongside optimistic outlooks for the broader European landscape. 2025 is on track to become a record year for Romania’s industrial market, with 2026 keeping the same momentum, supported by sustained demand growth, a promising diversification of the landlord base and expanding development activity across all regions of the country.
In Q3 2025, Bucharest’s residential market felt the impact of the VAT increase introduced in August, with record sales in July followed by a slowdown in August and September. The rise in average net prices, up by around 10% compared to the beginning of the year, signaled a temporary cooling of demand after the pre-hike rush. The recent change in the leadership of the General City Hall has reactivated construction activity, suggesting that the coming years will bring more deliveries to inner-city areas, while the outcome of the December mayoral elections will be crucial in determining whether the city continues the previous administration’s development strategy or shifts to a new direction.