Commercial Property in Zagreb
Offices, street units and warehouses, lease and purchase, prices by zone and legal status.
Commercial property in Zagreb covers very different types of real estate: office space, street units for retail and hospitality, warehouse and production halls, and smaller business units on the ground floors of residential buildings. What they have in common is that they are valued by how much income they can generate, whether through your own business or through letting. Hermes Nekretnine, based at Vlaška ulica 45, brokers the purchase, sale and lease of commercial property in the city and this page explains how to approach each of these segments.
Unlike residential property, with commercial space the decisive factor is how well the space matches the intended activity. The same unit can be excellent for an office and unusable for hospitality without major investment in ventilation, sanitary facilities and drainage. So we look at every offer from the perspective of the specific use, not just the floor area and the price.
Office space divides into premises in higher-class business buildings, with a reception, air conditioning and parking, and offices in converted residential buildings, which are cheaper but more modestly equipped. Street units are priced by pedestrian footfall and visibility, so locations on the main routes such as Ilica and the area around Ban Jelačić Square are in a separate price bracket. Warehouse and production space is concentrated in the economic zones on the edge of the city, where ceiling height, floor load capacity and truck access matter.
Most companies, especially those in an early stage, start with a lease, since it does not tie up capital and keeps flexibility. Buying commercial space makes sense when the business is stable, when the location is strategically important or when the space is bought as an investment for long-term letting. With a lease the contract is key, and with a purchase the legal status of the space, and we cover both below.
Monthly rent for office space in higher-class business buildings in the wider centre runs roughly from 11 to 18 euros per square metre, while offices in secondary zones and converted buildings are closer to the 7 to 11 euro range. Street units in the busiest central locations can ask 25 to 40 euros per square metre per month, and 8 to 15 euros in quieter districts. Purchase prices for office and business premises are generally in the 2,000 to 4,000 euro per square metre range, depending on the zone, the class of the building and the condition of the space.
Office space is most in demand in the wider centre and along business routes such as Radnička cesta, Slavonska avenija and the area around the Zagreb Stock Exchange, where the larger business buildings are located. Street units for retail and hospitality are most sought after in the Lower Town and on the main pedestrian routes, and smaller ground-floor business units are in demand in densely populated districts such as Trešnjevka and Trnje. Warehouses and production plants are concentrated in Žitnjak, Jankomir, Sesvete and Rakitje, close to the motorway exit.
Units for cafés and restaurants in Zagreb are a special case, because alongside location and footfall they also require meeting stricter technical conditions. A separate entrance, sufficient electrical power, provision for ventilation and smoke extraction, sanitary facilities sized to the number of guests and the option of setting up a terrace, which in the city centre often makes up a large part of the revenue, all matter. Before a lease we check whether the space previously hosted a hospitality business, since converting a space that was not used for hospitality can require extensive and expensive investment and the consent of the building's co-owners.
We check whether the space is registered in the land registry as commercial and whether it is a separate ownership unit, since spaces with an unresolved status struggle to obtain a permit to carry out an activity. We compare the technical properties of the space with the minimum technical conditions for the intended activity, including height, ventilation, sanitary facilities, electrical capacity and accessibility for people with disabilities. For office buildings we look at the air conditioning, the number of parking spaces and the shared reserve fund costs. With a lease we pay particular attention to the contract: the term, the notice period, how the rent is adjusted, who bears the cost of investment in the space and whether it reverts at the end of the lease.
Investors buying commercial space to let in Zagreb usually count on a gross annual yield in the 5 to 7 per cent range, depending on the location and the quality of the tenant. Office space with a long-term tenant that is a stable company carries lower risk and a lower yield, while a street unit with frequent tenant turnover carries a higher yield but also a greater chance of a vacant period. Before a purchase we assess the realistically achievable rent for the specific location and type of space.
The character of the commercial supply varies by part of the city:
We have prepared detailed guides for buying commercial properties and selling commercial properties. For lease brokerage and help with the contract, see renting property and administrative and legal services.
With commercial space, a mistake in choosing the location or a space that does not suit the activity costs directly, through lower turnover or an expensive fit-out. So we always look at the space through your activity, not just the listing. Contact our office at Vlaška ulica 45 in Zagreb, on +385 91 5767033 or at [email protected] for help finding, buying, selling or leasing commercial space.
Offices in higher-class business buildings in the wider centre run roughly from 11 to 18 euros per square metre per month, and from 7 to 11 euros per square metre in secondary zones.
A change of use is possible with the appropriate procedure and if the plan and the building's rules allow it. Before buying with that intention we check whether the change is realistically feasible.
This is set by the contract. A common model is one where the tenant invests in the space and part of the investment is offset through lower rent in the first months. The details should be clearly defined before signing.
The gross annual yield is usually in the 5 to 7 per cent range, with a lower yield and risk for office space with a long-term tenant and a higher one for street units.
Yes, an energy certificate is also required for commercial space on sale and lease. We take on organising the certification through energy certification.
For a standard office or unit it usually takes a few weeks to two months, while specific requirements, such as a large hall with truck access or a hospitality unit on a precise route, can take longer.
See also apartments in Zagreb, land in Zagreb, the overview of all Zagreb districts and the guides to buying and selling.