Commercial Property in Bulgaria
The investment market
- Volume: just under €188 million of deals in the first half of 2026; announced deals could take the year to about €405 million, and Colliers expects it may pass €500 million, above the 2025 record.
- By sector: offices 45%, retail 29%, industrial and logistics 12%, mixed use 9% and hotels 5%.
- Buyers: all deals in the first half used local capital; some of the large deals due later in 2026 are expected to involve international investors.
- Prime yields: 7.50% for offices, 7.75% for retail and 7.50% for industrial and logistics.
Source: 3e-news: Bulgarian property heads for a new investment record (Colliers, Real Estate Market Overview Bulgaria H1 2026, in Bulgarian)3
Offices in Sofia
| Measure | Q2 2026 |
|---|---|
| Modern office stock | 2.36 million m² |
| Vacant | About 275,000 m² (11.64%) |
| Vacancy by area | From 7.3% in the Broad Center to 15.3% in the suburbs |
| Class A asking rent | Mostly €14 to €18 per m² a month |
| Prime rent, city centre | About €20 per m² a month |
Source: Cushman and Wakefield Forton: Sofia office marketbeat, Q2 20261
Rents are quoted per month without VAT, with service charges on top. Office buildings in Sofia and other cities are on Office Space and on the office buildings map.1
Industrial and logistics
- Stock: 1,488,500 m² of Class A and B space for lease in Sofia by mid-2026.
- Take-up: 78,900 m² in the first half of 2026, against 8,600 m² a year earlier, 92% of it new demand.
- Pipeline: 112,200 m² under construction, with vacancy at a record low.
- Rents: about €6.00 per m² a month for Class A and €4.50 for Class B, plus service charges of €0.80 to €1.00.
Source: BTA: Industrial and logistics space in Sofia shows stable prices and record-low vacancy (Colliers, 4 August 2026)2
Building costs for warehouses and offices are on Construction Costs.
Taxes on buying and letting
- Transfer tax: 0.1% to 3% of the price, paid by the buyer and set by each municipality.
- VAT: 20% on sales by companies and other VAT-registered sellers, unless exempt; new buildings are subject to VAT.
- Rent: commercial rent carries 20% VAT if the landlord is VAT-registered; a company pays 10% corporate tax on its profit.
Source: RSM Bulgaria: Real estate tax factsheet 20264
Foreign companies can own buildings directly; land is owned through an EU company or a Bulgarian one, see Can Foreigners Buy Property in Bulgaria?5
Frequently Asked Questions
What are office rents in Sofia?
Class A office space in Sofia was mostly quoted at €14 to €18 per m² a month in the second quarter of 2026, and prime city-centre space at about €20, without VAT and service charges.
What is the office vacancy rate in Sofia?
About 11.6% in the second quarter of 2026, or about 275,000 m² of a modern stock of 2.36 million m², from 7.3% in the Broad Center to 15.3% in the suburbs.
What are warehouse rents in Sofia?
About €6.00 per m² a month for Class A warehouses and €4.50 for Class B in mid-2026, plus service charges of €0.80 to €1.00, with vacancy at a record low.
What are prime commercial property yields in Bulgaria?
Prime yields in the first half of 2026 were 7.50% for offices, 7.75% for retail and 7.50% for industrial and logistics.
Can a foreign company buy commercial property in Bulgaria?
Yes. Foreign companies can own buildings directly. Land can be owned by EU and EEA companies, while companies from elsewhere usually hold it through a Bulgarian subsidiary.
Sources
- Cushman and Wakefield Forton: Sofia office marketbeat, Q2 2026
- BTA: Industrial and logistics space in Sofia shows stable prices and record-low vacancy (Colliers, 4 August 2026)
- 3e-news: Bulgarian property heads for a new investment record (Colliers, Real Estate Market Overview Bulgaria H1 2026, in Bulgarian)
- RSM Bulgaria: Real estate tax factsheet 2026 (PDF)
- European Land Registry Association: Bulgaria, limitations to foreigners (December 2024)
Figures checked 15 October 2026. Prepared by InvestBulgaria for general information. It is not investment, tax or legal advice; please confirm details with a qualified adviser before acting.
