Finding tenants for office space in older buildings getting harder

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The share of vacant office space in Estonia has doubled since the pre-pandemic period, and even extremely low rent may not be enough to attract tenants to older spaces with high utility costs.

Aira Veelmaa, a commercial real estate broker at Uus Maa, told ERR that new buildings are continually being built, and tenants are mostly moving into these from older buildings they’re vacating.

“When 300-square-meter or larger spaces are left empty, it’s been pretty difficult in recent years to find a tenant for them,” she acknowledged.”Especially if there are high utility costs, which is often the case in older buildings.A lot of businesses ask first thing whether a building is energy efficient.

Read more: ERR.EE

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