Demand for offices in Porto: “There are a lot of companies looking for new facilities”

The office market in Porto is showing signs of recovering from the crisis caused by the Covid-19 pandemic, with five operations having been registered and 12.200 sq. mt. were occupied in August. The recovery compared to previous months and the same period of the previous year is notable, as in any of the periods the occupancy had not reached 1.000 sq. mt., states JLL, adding that the demand for space in the office segment in Porto is high.

According to the consultant, data on the occupation of offices in Porto in August also show "that the market strongly accelerated its pace of recovery compared to 2020, going from a contraction of 55% at the end of July to a contraction of only 15% at the end of August." "The month's activity practically doubled the volume of accumulated absorption that had been registered until the end of July, placing the annual 'take-up' at around 26.000 sq. mt.", the note reads. In accumulated terms, that is, between January and August, 32 operations were carried out, with an average area of ​​800 sq. mt.

According to Mariana Rosa, Head of Leasing Market Advisory at JLL, "Porto's market has been quite limited by the scarcity of quality supply available for immediate occupancy, because there are many companies actively looking for facilities, especially for large areas." "As the projects in the portfolio are concluded, the market will tend to reactivate and its pace of recovery should accelerate until the end of the year. August is already proof of this trend”, she adds.

JLL adds that two large operations were carried out in August, one with 7.000 sq. mt. and the other with 3.500 sq. mt., which put the average area per operation at 2.400 sq. mt.