Rome Office Market Dynamics, Q3 2024
Summary and analysis of Rome's current office real estate market conditions.
- Francesca Fantuzzi
- Stefania Campagna
- Alberico Radice Fossati
- Ole Sommer
In Q1-Q3 2024, 126,000 sq.m. of office leases were signed in Rome, of which almost 50% was absorbed in Q3. Compared to the same period in 2023, Rome experienced a decline. However, it is important to note that there were two exceptional transactions in the EUR and city center that occurred in 2023, boosting the base for comparison.
Nearly 50% of take-up in Q1-Q3 2024 was in the city center and CBD, and over 50% was in Grade A buildings, confirming central location and high quality as the main targets for occupiers. The flight to quality has driven up transaction values, with a quarter of transactions in the higher rental band of over €400/sq.m./p.a.
From the capital markets side, Rome saw significant growth, achieving over €0.7 bn of investment in the first 9 months of the year. This is representative of the increasing investor interest in the Italian capital city.
