Do Polish public administration units move with the times? It turns out that more and more of them indeed do - the number of state-owned institutions that have decided to lease space in modern office buildings has markedly increased in the past few years.
Office for an official
In new office buildings, the space is simply much more effective - it is designed with a focus on its purpose and the needs of both tenants and visitors. Not only is the number of employees taken into account, but also the number of potential visitors, the path they follow to settle a matter, and the time spent in a particular part of the office. As a consequence, public institutions are able to plan all of their functions effectively in a much smaller space.
Tomasz Trzósło, Managing Director CEE, JLL
In addition, the standard is much higher not only in terms of aesthetic impressions, but above all in terms of ventilation and lighting, which translate into a reduction in operating costs as well as significantly improving comfort. Modern office buildings also perfectly respond to the growing needs of employees. We expect a number of amenities and an interesting layout from employers that will encourage us to come to work. So why shouldn't civil servants expect the same?
Tomasz Trzósło, Managing Director CEE, JLL
Modern and economical
Many potential tenants of modern office projects are concerned about the cost of rent, which is of course higher when converted to a square meter. However, overall, total rental costs are ultimately lower due to better space effectiveness, lower operating costs and the possibility of obtaining revenues from the sale of their previous premises, e.g. for boutique residential projects.
Tomasz Czuba, Head of Office Agency, JLL
Institution | Space (sq m) | Investment |
Agency for Restructuring and Modernisation of Agriculture | 17,500 | Poleczki Park |
Polish National Railways | 15,000 | West Station |
Polish Financial Supervision Authority | 14,800 | Piękna 2.0 |
Polish Development Fund Foundation | 10,300 | CEDET |
Agricultural Market Agency | 9,800 | Karolkowa Business Park |
Gaz-System | 9,200 | Cristal Park |
Electronic Communication Office | 8,100 | G9 |
City Transport Authority | 7,300 | JM Tower |
Source: JLL, 2019
The public sector can significantly support the demand potential for office space, both in Warsaw and regional cities, especially if central offices would actually be located outside Warsaw, as announced by minister Jadwiga Emilewicz. In addition to possible cost savings for public institutions, this is also an additional opportunity to maintain Poland's GDP growth by generating demand for office space and thus indirectly supporting economic conditions in the country's construction and development sector.
Tomasz Trzósło, Managing Director CEE, JLL