September 8, 2026
Europe’s large firms want better offices, but are less keen on paying extra for them
Nearly two-thirds of large European office occupiers expect to relocate some of their operations over the next three years, as organisations seek better quality workplaces while becoming increasingly reluctant to pay a premium for them. According to CBRE’s 2026 European Office Occupier Sentiment Survey, 65 percent of respondents are planning relocations. Nine in ten say they would reject offices that do not provide the amenities they require, yet the proportion willing to pay extra for those amenities has fallen from 54 percent last year to 48 percent.
The findings point to a growing tension in the office market. Employers are placing greater emphasis on the quality, flexibility and functionality of their workplaces, while continuing to scrutinise property costs and the amount of space they occupy. This is also changing the kinds of workplaces organisations are looking for. Almost half (48 percent) of respondents expect to need more multipurpose and reconfigurable space, 43 percent anticipate greater demand for specialist facilities such as AI labs and 38 percent expect to increase their use of flexible workspace.
AI itself may have a significant effect on future office requirements. Just over half of respondents believe the technology will eventually reduce both headcount and the amount of space their organisations need. However, its impact may also increase demand for more specialised workplaces as the nature of jobs and the activities carried out in offices change.
Sustainability remains another factor shaping property decisions. Some 45 percent of respondents are targeting net zero by 2030, up from 37 percent in 2024.
The problem for occupiers is that the supply of offices capable of satisfying these various demands may be tightening. CBRE forecasts that buildings less than five years old will make up just 6.8 percent of European office stock by 2028, the lowest proportion for more than a decade.
AI businesses are adding to demand for this type of space. They currently account for around 3 percent of European office take-up and tend to favour high-quality buildings in central locations. Anna Esteban, CBRE’s head of leasing and occupier accounts for Europe, argues that organisations may ultimately occupy less space but will be more selective about what they retain, particularly as they seek workplaces that can attract employees and offer a better experience.
CBRE also expects this to encourage greater use of flexible workspace, allowing organisations to access higher-quality offices without the same level of upfront capital commitment. Mark Cartlich, CBRE’s head of European occupational market research, says the trends risk creating a mismatch between the offices organisations increasingly want and the stock available to them, potentially intensifying competition for prime space.
The survey is based on responses from more than 90 European office occupiers, meaning its findings are better read as an indication of sentiment among major occupiers than as a picture of the European office market as a whole.
