A Colliers report analyzing the Bulgarian office market in Q1 2026 indicates that regional cities maintained market resilience over the past year. In Plovdiv, the office sector showed stability in 2025, with total Class A and B stock reaching 290,300 sq m. Demand, primarily driven by the IT and outsourcing sectors (accounting for over 70% of take-up), caused vacancy rates to fall to 7.8%, the lowest level since 2019.
Rental rates increased to EUR 11/sq.m for Class A and EUR 6/sq.m for Class B, supported by significant ongoing development activity. Varna’s modern office market also saw growth, reaching 277,100 sq m of stock. Here, vacancy rates dropped to a record low of 4.2%.
Demand over the last two years was largely sourced from the industrial and energy sectors, followed by professional services and IT. Limited supply contributed to rent increases, with Class A reaching EUR 10/sq m. Burgas, while lagging, reported a total supply of 92,000 sq m, though vacancy rates remained higher at 15%.
Demand in this regional market was dominated by outsourcing companies (53%). Overall, Colliers expects rental levels in the main regional cities to remain stable, with potential growth concentrated in prime, low-vacancy projects. The report notes that while older buildings may face pressure, interest is growing in cities outside the top three, suggesting potential for new office hubs if local authorities implement adequate investment incentives.
Topics: #regional #cities #office
