Colombia. According to the reports of the office market of the first quarter of 2015 made by Colliers International, Bogotá presents a change in the trend of the market, related to the occupation of the spaces available for office use.
In the first quarter of 2015 the supply tripled compared to the first quarter of last year. Vacancy doubled to 8.7%, which still represents a healthy market, reaching the limit of normality. This figure would not attract attention, if numerous construction projects were not currently being developed.
Factors such as the revaluation of the dollar, the difficult situation that oil companies live worldwide and in Colombia, and some issues of regulation in construction have influenced that a large number of square meters of offices have been delivered by their tenants this first quarter.
Another element that contributes to the increase in meters of offices available in Bogotá, corresponds to the completion of lease contracts that historically end in the period of the first quarter, generating significant vacancies of commercial properties.
The purchase by different investment funds of office projects, which invested in the entire building and were completed in very close periods, is another factor that has increased the supply of offices in the city.
According to the market report made by Colliers Bogotá, it starts the year with an inventory of 2,225,600 M2 profitable offices, increasing by 14% compared to the same period of the previous year. Between January and March, 15 corporate buildings were completed, adding 133,500 m2 to the inventory, a figure that had never been registered in the city.
While the supply of offices in the first quarter of 2015, reached a historic level, and is expected to continue increasing in the remainder of the year. Of the 194,000 m2 available, more than 103,000 m2 belong to new buildings.
Therefore, it is a good time for the tenants of the offices in Bogotá to achieve a good business in the long term, change offices, renegotiate the current contracts, and obtain new opportunities or benefits that go beyond the grace time, such as asking the owners to pay the necessary adjustments, among other alternatives.
