Office market Zug

The supply of available office space in the Zug region held practically steady year-on-year (+600 m²), so the availability rate there stayed unchanged at 3.0% in 2024. Slight increases in available office space were registered in the city of Zug (+1,300 m²) and in Steinhausen (+1,500 m²), whereas office vacancies decreased in Baar (–2,300 m²). Baar had 35,000 m² of vacant office space at the end of 2021, but three years later had only 10,500 m² left unoccupied, resulting in a plummet in the availability rate there from 11.3% to 3.0%.

Activity in the Zug office market remains unabatedly dynamic. For example, Chinese robot manufacturer Estun Automation has set up its European headquarters in Baar and wants to expand into the European market from there.

Although companies in the Zug office market are optimizing their space needs, most of the freed-up spaces quickly find new tenants. Congo Brands and Tesla recently took up residence in the Opus building complex this way. Lombardi AG and the Canton Zug academic high school are taking over office spaces on the Suurstoffi site, and the XUND healthcare training centre for Central Switzerland has been landed as the anchor tenant for the last two new buildings there.

A number of companies also are expanding. Roche is spending over CHF 200 million to build a new diagnostics production facility in Rotkreuz by 2027. Holcim will give up its birthplace in Holderbank and will consolidate its employees at the group’s headquarters in Zug, where it has resided since 2019. Shell saw itself compelled to relocate its Swiss headquarters from the Baarermatte in Inwil to Cham because several new buildings are planned to be built on the underused land parcel.

The construction of the new headquarters of Partners Group was completed in 2024. The office space in the old location should be ready for tenancy at the start of 2026 after a likely refurbishment. At the same time, newbuild offices spaces on the Suurstoffi site in Rotkreuz, the Unterfeld site in Baar, and the Papieri site in Cham, as well as the first stages of the Tech Cluster in Zug, are all slated to be completed in 2026/2027. A large part of the roughly 75,000 m² of additional office space set to come onto the market hasn’t been leased yet. The tight supply in the Zug office market thus looks destined to ease in the medium term as vacancies likely head back upward.