Jones Lang LaSalle concluded a new leasing transaction, one of the largest deals signed in Romania in 2013 on the office market, a 11,124 m2 lease renewal and expansion of the American company Honeywell in Upground Offices. Upground Estates is the property of RREEF Real Estate, which is part of the German group Deutsche Bank.
Since the beginning of the year, the Office Department of Jones Lang LaSalle has concluded 12 office deals, for both the Tenant Representation and Office Agency business lines which totals over 22,000 m2.
Among the clients who chose Jones Lang LaSalle as exclusive leasing consultant in 2013 are Daimler Group- Mercedes Benz(3,000 m2), Halcrow (1,200 m2), ExxonMobil (1,000 m2), Cisco, Discovery and Canon. In parallel Jones Lang LaSalle is working on an impressive pipeline for additional transactions that exceeds 30,000 m2 and many of which are expected to be concluded still this year.
Marius Scuta, Head of Office Agency & Tenant Representation declares “The leasing activity of our company was focused on both new leases/consolidations and lease renewals. The demand derives primarily from existing companies, but within our pipeline we have currently 7,000 m2 under negotiations with new companies who decided to open offices in Romania instead of Poland or other countries in the region”.
According to Jones Lang LaSalle research, in the first half of the year, total gross take-up reached approx. 123,000 m2, dominated by new demand and lease renewals. By industry IT&C, FMCG and automotive related companies generated most of the total leasing activity. We also noticed a generous increase of the incentive packages, in both rent free periods and fit out contributions, applicable to lease requirements exceeding 2,000-3,000 m2 for existing buildings, that used to characterize larger pre-leases in the recent past.
“Our exclusive tenant representation mandates represent an important share of our activity. These companies expect from our local team the same level of expertise and professionalism that they can find in each country the company activates, whether it is the US, Poland or Romania. This is one of the arguments that sets Jones Lang LaSalle apart from its competitors, with the deep market insight and the high level of ethics and professionalism, which is compulsory for the corporations that we represent and should be a standard in Romania also” said Marius Scuta.
