DTZ: Modern office space in Bucharest reaches 2 mil sqm. OCTAGON to deliver two more buildings in 2014

Modern office space stock in Bucharest reached 2.114 million sqm, at the end of June, around 3% of this area accounting for new office space deliveries. In 2014, 132,000 sqm of office spaces will be delivered, approximately 60% of this area being pre-leased. In the first half of the year five office buildings were delivered, with a total area of 68,500 sqm, most of them being located in the west of the capital.

Hermes Business Campus

OCTAGON CONTRACTING & ENGINEERING has been one of the main office space constructors in the past two years. The company has started the year by delivering building B of the office complex Hermes Business Campus (5- 7 Dimitrie Pompeiu Blvd.), were OCTAGON was general contractor. By the end of 2014 OCTAGON will complete another two office projects: PC Business Center (7- 9 Bucharest- Ploiesti Road), where the company performed infrastructure works and is currently performing superstructure works consisting in concrete superstructure works (encasing, reinforcement, concreting) and metal structure works at building B of the complex Green Court Bucharest (2- 4 Garii Herastrau St).

Office building vacancy rate in Bucharest has slightly declined this year to 15.7%, 330,000 sqm being vacant, although a record rental volume was registered in the first six months. Most of the rental volume was generated especially by relocations, according to real estate consultants DTZ Echinox. Vacancy rate dropped by one percent quarter on quarter, reaching 15.7% at the end of H 1 2014. This is a 0.8 per cent

PC Business Center

decline on the same period of last year, when the vacancy rate was 16.5%.

Right now there are 333,000 sqm of free office spaces in Bucharest, over 30% of them being located in Pipera. Yet, the highest occupancy rate decline quarter on quarter was registered in Pipera, against the other areas in Bucharest - 4%, at the end of the first semester. The vacancy rate in Pipera is now 21%. In Pipera Sud area (Dimitrie Pompeiu St.) the vacancy rate is 8.5%, while in CBD (the central business area) and in west, the vacancy rates stands at 8%, reads a DTZ Echinox press release.

The center- north area has a vacancy rate of 16%, while Barbu Văcărescu – Floreasca area, with a 254,000 sqm stock, reached a vacancy rate of 14% at the end of the first semester.

Green Court Bucharest

The total volume of rented office spaces reached 108,000 sqm in the first half of the year, 25% higher than the volume reported for the same period of 2013. This is the highest rental volume registered within a semester, since 2008, without taking into account the investment made in 2010 by Petrom in its own office building.

Relocation transactions keep dominating the market, accounting for 72% of the total rental volume. New demand – expansions and new comers on the construction market – is 40% above the value registered in the same period of last year and accounts for 28% of the total rental volume.

Prime rents remained stable in the first six months of the year, with variations from 16-18 euro/sqm/month in the central business area, to 15-17 euro/sqm/month in center- north, declining to 12-15 euro/sqm/month in semi- central areas, and to 9 - 12 euro/sqm/month on the outskirts.

For more information click HERE. 

OCTAGON CONTRACTING & ENGINEERING

Phone: (+4)021.232.39.20

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ZF: Best business centers in Bucharest. Octagon, contractor within 6 of them

 

Sky Tower

Ziarul Financiar has interviewed eight real estate consultancy firms to draw up a top of the business centers that suit best the criteria of the companies looking for new headquarters. Extremely dynamic on the office market, in the past years, OCTAGON has been contractor within 6 of these projects.

Victoria Center building on Calea Victoriei, Sky Tower near Promenada Mall, where OCTAGON has performed infrastructure works in top- down system and AFI Business Park near AFI Palace Cotroceni Mall are the office projects in Bucharest that fit most of the criteria.

Victoria Center is the most attractive office building in Bucharest, with a leasable area under 10,000 sqm, Sky Tower is the brokers’ favorite building over 10,000 sqm, while AFI Park is the highest rated business park, according to the analysis which took ten criteria into account.

Olympia Tower

The projects divided into three categories – under 10,000 sqm, over 10,000 sqm and business parks – have been graded from 5 to 1 upon 10 criteria: technical specifications, access, space efficiency, operational efficiency, visibility and design, quality of administration services, building and surrounding facilities, price/quality ration, high parking rate and good reputation of existing tenants.

Green Gate

Located in a central area, on Decebal Blvd., Olympia Tower office building is one of the most modern in Bucharest, with an area under 10,000 sqm. OCTAGON has performed the infrastructure works (diaphragm walls, bored piles, general excavation, crown beam) and superstructure works for this building.

Among buildings with areas over 10,000 sqm, Green Gate, located on Tudor Vladimirescu Blvd. in Bucharest is one of the most recently delivered. OCTAGON has been specialized contractor for the office building and has performed geotechnical works: diaphragm walls, bored piles, dewatering systems and crown beam. The building has 10 floors and a 39,000 sqm total area.

Hermes Business Campus

Green Court Bucharest- Building A

OCTAGON has also been involved in the construction of two of the largest office parks in Bucharest: Hermes Business Campus (Dimitrie Pompeiu Blvd.) and Green Court Bucharest (Gara Herastrau St.). The company was general contractor for the first office building within the complex. After delivering building A of Green Court Bucharest complex, developed by real estate giant Skanska, OCTAGON is continuing the superstructure works to building B, which will be delivered this year.

Green Court Bucharest- Building B

On the list of projects built by OCTAGON, listed in ZF top there is also Floreasca Park, located in northern Bucharest on Pipera Road. OCTAGON was specialized contractor and performed geotechnical works within the building.  

For more information click HERE. 

 

OCTAGON CONTRACTING & ENGINEERING

Phone: (+4)021.232.39.20

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OCTAGON assigned general subcontractor to PC Business Center office building, located in northern Bucharest

                                          

                                                                                                                                                                                                                                                                            

Press Release August 14^th 2014

OCTAGON assigned general subcontractor to PC Business Center office building, located in northern Bucharest

      Contract value: 2 mil. Euro

      Office building located on Bucharest- Ploiesti Road

      Height: 11 Floors

Bucharest, August 14^th 2014: OCTAGON CONTRACTING & ENGINEERING, a company specialized in civil and geotechnical construction works, has become general subcontractor for an office building- PC Business Center, located in the north of the capital. Construction works are worth approximately 2 million Euro.

PC Business Center is located on 7-9 Bucharest- Ploiesti road. The building has two underground and 9 ground levels and is located near Sector 1 City Hall. Iridex Group Import Export is the developer and general contractor of the project.

OCTAGON took over the project in the autumn of 2013, as specialized contractor, and has performed special foundation and infrastructure works: diaphragm walls D 600, bored piles D 620,crown beam, excavation and metal retaining systems, dewatering systems, foundation raft S2, S1, hydroinsulation of underground and water basin. Works were completed in May 2014.

The execution of the superstructure works has been added to the initial contract and OCTAGON has become general subcontractor to PC Business Center. Construction works have reached the 3^rd level of the building. This is one of the three major office projects built by OCTAGON in Bucharest, between 2013- 2014, along Green Court Bucharest (2-4 Gara Herastrau St.) and Hermes Business Campus (7- 9 Dimitrie Pompeiu Blvd.).

“Although according to statistics 2013 was a slower year for the construction market than the previous year, 2013 and 2014 have been intense growth years for OCTAGON, characterized by contracting major projects, especially in the office and infrastructure sectors. PC Business Center is a new opportunity to prove our ability to execute all the works included in a project: special foundations, infrastructure and superstructure.”  said Alexandros Ignatiadis, co- founder and shareholder of OCTAGON CONTRACTING & ENGINEERING.

OCTAGON CONTRACTING & ENGINEERING (www.octagon.com.ro ) is a Romanian company set up in 2005, headquartered in Bucharest. The company also has a branch in Baghdad (Iraq).  With a 19.6 million euro in 2013, large scale projects in Romania, Iraq, Greece, Turkey and Bulgaria, OCTAGON is one of the main players in the civil and geotechnical construction sectors, in Romania.

Among the reference works performed by OCTAGON in Romania there are: the office complex Green Court Bucharest (Gara Herastrau Street- Bucharest), the tallest office building in Bucharest Sky Tower (Barbu Vacarescu Blvd.), the office building Olympia Tower (Decebal Blvd.- Bucharest) and the Combined Cycle Power Plant 867 MW OMV- Petrom (Brazi- Prahova county).

Contact

OCTAGON CONTRACTING & ENGINEERING

Corina Ilie

Public Relations Specialist

Tel: (+40) 769 249 286

E-mail: c.ilie@octagon.com.ro