
That's Why More Companies Are Moving Out of the City Center—and What They're Getting in Return
The Copenhagen office market continues to be characterized by low vacancy rates and strong demand. In the Copenhagen metropolitan area, the vacancy rate has fallen from 6.8% to 5.9% in one year, accompanied by high leasing activity. A significant portion of the existing vacancy is found in older, outdated spaces that do not meet today’s standards, while demand is increasingly focused on modern, energy-efficient spaces. (Source: Dansk Byudvikling, 2026)
Office rent in Greater Copenhagen and the surrounding municipalities is significantly lower than in downtown Copenhagen. For many companies, this translates to substantial annual savings on rent.
What is driving this trend?
Price and Space
The most obvious reason is financial. But it’s not just about lower rent—it’s about what the company can do with the capital it frees up. Many are investing the savings in better interior design, technology, and employee amenities.
The Impact of Hybrid Work
Many companies with office workers now offer hybrid models and have built flexibility into their culture, making it possible to work from home. When employees aren’t in the office every day, needs change: Fewer fixed desk spaces are needed, but more space is required for collaboration, workshops, and social activities. This shift makes it possible to choose spaces that are optimized for function rather than prestige.
Infrastructure in Transition
The Capital Region Light Rail, which connects 11 municipalities from Ishøj to Lyngby via the Ring 3 corridor, is fundamentally changing accessibility. Business districts that were previously car-dependent now have direct access to a cohesive public transportation network.
What do they get instead?
Companies that have taken the plunge typically report three benefits:
- More space for the same budget. This makes it possible to create an office environment that truly supports the way people work today—with zones for focus, collaboration, and informal meetings. In addition, there’s more room to create combined solutions, so that companies with multiple functions—such as a warehouse, showroom, and office—can bring everything together under one roof.
- Lower employee turnover. Surprising to many, but employees who have shorter commutes and better working conditions are more likely to stay.
- Improved operating efficiency. The capital freed up is reinvested in the core business or used to fund growth, rather than being spent on prestige square meters.
Are you interested in commercial properties in the Greater Copenhagen area? Take a look at our available properties and contact us—we’d be happy to have a no-obligation conversation about your company’s needs.
Katrine Ildal Nielsen
Katrine is Head of Property & Asset Management at Stensdal, with over 15 years of experience in areas such as institutional real estate investment and international real estate companies. She brings a strategic and operational holistic perspective to issues related to leasing, operations, and portfolio development.
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