Office occupancy in Europe registered a year-on-year increase of 3% between the first and third quarters of 2025, while prime product rents increased, on average, 4.9% in the same period, according to the most recent report from consultancy Savills. These movements point to a gradual recovery in demand, especially in the most competitive urban centers.
Some markets clearly stood out compared to the absorption averages of the last five years in the same period: Frankfurt (+76%), Dublin (+46%), Barcelona (+41%), Prague (+36%) and the City of London (+18%). The dynamics reflect, on the one hand, a resumption of demand for spaces linked to the technology sector and, on the other, the persistent resilience of financial services, highlights the report.
The average availability of offices in Europe remained at 9.3% in the third quarter of 2025, with the supply of prime spaces frequently below 3% in several areas, a condition that continues to put upward pressure on rents. The increase in prime rents was led by central areas such as London’s West End (+17% year-on-year), Frankfurt (+13%) and the Paris financial district (+13%).
Savills also records a marginal increase in the average occupancy rate, from 60% to 61% last year, a level still lower than the pre-pandemic level (70%). The growing demand from companies for physical presence — aiming for team cohesion and collaboration — has contributed to this slight boost, highlights the study.
On the outlook for 2026, Christina Sigliano, EMEA Head of Global Occupier Services of Savills, says that “a gradual increase in occupancy is expected, as occupiers resume their activity, despite geopolitical uncertainty”. He also adds that “the scarcity of prime product supply in the main central business areas should continue to support rent growth and progressively arouse the interest of developers throughout 2026”.