Newsec has available office spaces in Dronning Eufemias gate 6 (Oslo Atrium) at Barcode
As of the second quarter of 2019, the rental prices for office premises in Oslo continue to rise. According to Arealstatistikk AS, the average for Oslo is currently 2,410 NOK/sqm, up 6.5% when comparing four quarters rolling average. The market demands modern offices of a high standard, thus resulting in considerable interest in new builds downtown and in the large “office clusters”. Additionally, landlords need to refurbish existing office premises in order to attract tenants. The high willingness to pay for high-quality premises near the city centre is one factor in shaping the upward rental price trends found in downtown areas. Thus, we expect old rental records to be broken. This is supported by an increased focus on identity building, which in turn increases willingness to pay. This trend is spreading further towards Skøyen, while eastward there is still oversupply of new developments dampening the growth for a few years ahead. In summary, the Norwegian economy continues along at a good pace, which will benefit the rental market in the current year. Low unemployment and a high capacity utilisation rate are expected, which in turn increases employment and thus the need for office space. A somewhat diminished economic outlook for 2020 and 2021 will eventually dampen growth.
Co-working is generating a great deal of attention these days. In Norway, the concept is most widespread in Oslo, where in 2018, it occupied 30% of leased office space. 1.5%-2% of the office market in Oslo is now occupied by such entities as Mesh, Spaces (Regus), Startuplab and Epicenter, amounting to 100,000-150,000 sqm. WeWork is now also established in Oslo, with an entire 11,000 sqm in the CBD. Moreover, Huckletree (Pier X Venture Hub) has been established in NPRO’s building at Aker Brygge. The concept is also rising in Bergen, where inter alia Regus (International Workplace Group) has taken 2,500 sqm in Media City Bergen, and Spaces shall move into 4,000 sqm once the renovations at Vaskerelven 39/Olav Kyrres gate 41 have been completed. Newsec is convinced that the co-working trend is here to stay. The flexibility that the concept provides is undoubtedly something that is in demand and it will be very exciting to follow the development in the coming years. Time will tell exactly which format will take hold.
Newsec is letting-adviser on behalf of Lani AS for Dråpen 9
Newsec is letting-adviser to Realkapital Investor for Fornebuveien 1-3 ("GROW") - an exciting rehabilitation project