Economy: Stable Labour Market, Inflation Below 4%
The labor market remained stable, with unemployment hovering around 4.0%. According to ManpowerGroup, 21% of Slovak employers expect to increase headcount, with the strongest hiring expectations in HoReCa, recreation and cultural services, and the automotive sector.
Inflation reached 3.5% in June and has broadly stabilized slightly under 4%, while fiscal consolidation continues to weigh on households. Despite this, consumption remained resilient and supported GDP growth of 0.9% in Q1. Economic activity is expected to accelerate in 2027, supported mainly by recovering global trade and stronger foreign demand.
Supply & Demand: Low Pipeline, High Share Of Renegotiations
Gross take-up reached 52,900 sq m in Q2 2026, with renegotiations accounting for 53% of total leasing activity, confirming the trend observed in last quarters. Net take-up reached approximately 24,800 sq m, supported mainly by new leases. Occupier activity continued to favor better-quality space, with 63% of transactions signed in A and A+ buildings, confirming the preference for modern offices that meet higher technical, operational and sustainability standards. Manufacturing sector led demand with a 23% share, followed by finance sector at 20% and professional services at 15%.
Vacancy remained broadly stable at 13.42%, representing 235,500 sq m of available space, while falling by 0.99 percentage points YoY due to limited new supply and higher leasing activity over the past quarters. No new buildings were completed during the quarter, although two projects, Dunaj (8,000 sq m) and Ganz House (9,400 sq m), are expected to be delivered in Q3. The overall office stock remained at 1.75 million sq m, with A+ buildings accounting for 22%, A-class for 38% and B-class for 40% of total stock.
Pricing: Prime Rents Rise, Office Investment Activity Returns
Prime rents increased to €22.00/sq m/mth in Q2 2026, supported by limited availability of prime A+ space and a low volume of space under construction.
Office was the only transacted sector during the quarter, with Q2 investment volume reaching €137 million across five transactions including deals such as The Mill in CBD, a 40% share in Einsteinova Business Center, Zámocká 4, or 2 office buildings in Košice. Prime yields for fully let, high quality assets with long WAULTs remained stable at 6.25%.
