Barcelona’s office market recorded close to 190,000 sqm of take-up in the first half of 2026, 24% more than in the same period last year, while Madrid registered 210,000 sqm amid more moderate activity, according to the latest research from Savills.
The two markets are showing different levels of occupier activity, but both are being shaped by limited availability of quality space, constrained development pipelines and continued rental growth.
In Barcelona, the first half was marked by a strong presence of large transactions. Three deals above 10,000 sqm were signed during the period, together accounting for almost 30% of total take-up. The 30,000 sqm Inditex Campus transaction was the second-largest deal ever recorded in the city and helped push activity close to pre-pandemic levels.
The number of transactions also increased by 10.5% year-on-year to nearly 170, although this remained below the five-year H1 average of 178. Average deal size reached 1,143 sqm, compared with a historical average of 680 sqm, reflecting the growing importance of larger occupier requirements.
Madrid, meanwhile, recorded 210,000 sqm of take-up in H1, with Savills describing activity as more moderate than in previous periods. The market nevertheless continues to benefit from employment growth and strong demand for offices in established locations.
The supply imbalance is particularly pronounced in Madrid. The vacancy rate stood at 8.52% in Q2, its lowest level since 2008, while vacancy in Prime and CBD locations was just 1.60% and 1.82%, respectively. Only 15% of immediately available space is located within the central area, with the remaining 85% concentrated in peripheral markets.
The shortage of quality space is also pushing rents higher. Prime rents in Madrid reached €50 per sqm per month for the first time, according to Savills, bringing the city closer to established European office markets such as Milan and Paris.
Barcelona is experiencing a similar tightening of supply. The market closed the first half with declining vacancy, while limited development activity is expected to continue supporting rental growth. The 22@ district remains a key destination for companies seeking modern and efficient office space.
Investment activity has also recovered in both markets. Barcelona recorded €808 million of office investment in the first half, with investor interest focused on modern buildings in established locations and assets offering stable income and long-term value potential.
Madrid attracted €845 million during the same period. Savills reports renewed investor interest and an increasing number of sale processes, supported by stable yields, greater visibility on interest rates and positive occupier market conditions.
Prime yields stood at 4.50% in Madrid, in line with Barcelona, and remained unchanged for three consecutive quarters. Savills noted that limited prime product, available capital and growing competition among investors could lead to further yield compression in the coming months.
Looking ahead, supply is expected to remain a key constraint in both markets. In Madrid, limited development activity is likely to prolong the imbalance between supply and demand in established areas, while institutional capital remains committed to core and core-plus assets.
In Barcelona, strong demand and the continued search for higher-quality offices are expected to maintain activity during the second half of the year. The limited addition of new supply should continue to shape market conditions, particularly in the most sought-after locations.
