1. The Office Market in Vienna An Analysis of Trends and Cycles
INSTITUT FOR REAL ESTATE MANAGEMENT
University of Applied Sciences Vienna – FHWien of WKW
The Office Market in Vienna An Analysis of Trends and Cycles
Peter Sittler, Alexander Bosak
25th June 2015
European Real Estate Society (ERES) Conference
Istanbul, Turkey

2. Classification of forecasting methods by formalization and data level
(Wernecke 2006, p. 129)

3. Endogenous indicators in a tenant's market
Prime rent
Total floor area
New space offer
Volume of space let
Vacancy rate
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

4. Development of prime rents Viennese office market (1991-2013)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

5. Development of total floor area Viennese office market (1991-2013)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

6. Development of new space offer Viennese office market (1991-2013)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

7. Development of volume of space let Viennese office market (1991-2013)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

8. Development of vacancy rate Viennese office market (1991-2013)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

9. Analysis of office market cycles
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

10. Office market structure model (Bulwien)
(Bulwien 2008, p. 232)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

11. Correlation market equilibrium and real prime rent
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

12. Office market model 1 (Type 1)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

13. Office market model 2 (Type 1)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

14. Office market model 1 (Type 2)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

15. Office market model 2 (Type 2)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

16. Market predictions/findings
Rise in office prime rents in 2014 and 2015 (to 26 Euro/sqm./month)
Slightly falling prime rents in 2016
Proved with recent office market reports
Strategic asset and portfolio management
Best time for the lease negotiations
Control new construction
Advantage of the simplified model (only two parameters)
INSTITUTE FOR REAL ESTATE management – FHWien University of Applied Sciences

17. Endowed Chair of Real Estate peter.sittler@fh-wien.ac.at
INSTITUT FOR REAL ESTATE MANAGEMENT Währinger Gürtel 97, 1180 Vienna Telephone +43 (1) Fax fh-wien.ac.at/immo
facebook.com/FHWien twitter.com/fhwienAT youtube.com/FHWien xing.com/net/fhwiengruppe
Peter Sittler
Endowed Chair of Real Estate
Alexander Bosak
Bosak Real Estate Consulting