--- title: "Berlin vs Madrid: Class A office comparison" description: "Side-by-side Class A office comparison for Berlin and Madrid — rent, vacancy, talent, tax, lease norms, transit, and top submarkets." canonical: https://classa.info/compare/berlin-vs-madrid pageType: comparison lastUpdated: 2026-04-15T00:00:00.000Z license: "CC BY 4.0 with attribution to Class A Atlas (https://classa.info)." --- > Berlin ($53/sqft, 7.4% vacancy) and Madrid ($41/sqft, 8.6% vacancy) compete on different axes: Berlin on talent depth and Madrid on rent and tax. ## TL;DR - Class A rent: Berlin $53/sqft vs Madrid $41/sqft. - Vacancy: Berlin 7.4% vs Madrid 8.6%. - Talent index: Berlin 88 vs Madrid 78. - Corporate tax: Berlin 30% vs Madrid 25%. - Premium flex/seat/month: Berlin $580 vs Madrid $780. # Berlin vs Madrid: Class A office comparison **Berlin ($53/sqft, 7.4% vacancy) and Madrid ($41/sqft, 8.6% vacancy) compete on different axes: Berlin on talent depth and Madrid on rent and tax.** ## TL;DR - [Class A](/glossary/class-a) rent: Berlin $53/sqft vs Madrid $41/sqft. - Vacancy: Berlin 7.4% vs Madrid 8.6%. - Talent index: Berlin 88 vs Madrid 78. - Corporate tax: Berlin 30% vs Madrid 25%. - [Premium flex](/topics/lease-vs-flex)/seat/month: Berlin $580 vs Madrid $780. ## Market data side-by-side | Metric | Berlin | Madrid| | Region | EMEA | EMEA| | Country | Germany | Spain| | Class A rent (USD/sqft/yr) | $53 | $41| | Class A rent (local) | 44 EUR | 38 EUR| | Vacancy | 7.4% | 8.6%| | Trend | flat | rising| | Prime yield | 4.3% | 4.6%| | Premium flex / seat / month (USD) | $580 | $780| | Submarkets covered | 5 | 5| | Corporate tax | 30% | 25%| ## Lease norms | Metric | Berlin | Madrid| | Typical term | 5 yrs | 7 yrs| | Typical rent-free | 4 mos | 14 mos| | Lease norms | Net leases dominate. 5-10 year terms; tenants frequently negotiate break options at year 3 or 5. Free rent of 3-6 months on a 5-year deal; TI of €60-€100/sqm typical. | Standard 5-year lease with 5-year extension option (5+5). Rent indexed to CPI annually. Service charges billed separately. Tenant typically pays IBI (real estate tax) and basura (waste tax). Bank guarantee of 3-6 months standard.| | Tax note | 15% federal corporate income tax plus 5.5% solidarity surcharge plus Berlin trade tax (Gewerbesteuer) of about 14.35% for an effective combined rate of about 30%. | Headline corporate tax 25%. Madrid region offers some of Spain's most competitive personal income tax rates.| ## Talent | Metric | Berlin | Madrid| | Talent index (0–100) | 88 | 78| | Talent note | Deepest tech and creative talent pool in Germany. Strong feed from TU Berlin, HU, FU, and the rapidly growing Hertie School. Multilingual talent base supports non-German European HQs. | Iberian peninsula's deepest financial-services and tech talent pool. Average all-in compensation indexes 78.| ## Transit & commute **Berlin:** BVG U-Bahn (10 lines), S-Bahn (15 lines), tram, and bus. Berlin is highly walkable and U-Bahn-served. BER airport (opened 2020) is connected via the S-Bahn S9. **Madrid:** Madrid Metro covers all Class A clusters. AVE high-speed rail to Barcelona, Valencia, Seville, and Lisbon. Madrid-Barajas Airport is 12-25 minutes from CBD by Metro. ## Top submarkets — Berlin - [**Mitte**](/cities/berlin/mitte) — [trophy tier](/topics/trophy-asset-selection) · €50/sqm/mo · ≈ $60.2 PSF/yr USD - [**Mediaspree (Friedrichshain-Kreuzberg)**](/cities/berlin/mediaspree) — trophy tier · €46/sqm/mo · ≈ $55.4 PSF/yr USD - [**Potsdamer Platz**](/cities/berlin/potsdamer-platz) — prime tier · €44/sqm/mo · ≈ $53 PSF/yr USD ## Top submarkets — Madrid - [**Cuatro Torres**](/cities/madrid/cuatro-torres) — trophy tier · €50/sqft/yr · ≈ $54 PSF/yr USD - [**Castellana & AZCA**](/cities/madrid/castellana-azca) — trophy tier · €45/sqft/yr · ≈ $48.6 PSF/yr USD - [**Méndez Álvaro / Atocha**](/cities/madrid/mendez-alvaro) — prime tier · €32/sqft/yr · ≈ $34.6 PSF/yr USD ## Decision criteria ### Pick by cost Madrid is the cheaper Class A market on a USD basis. ### Pick by talent depth Berlin has the deeper talent index (88/100 vs 78/100). ### Pick by tax Madrid has the lower headline corporate tax (25% vs 30%). Local incentives can change the effective rate materially. ### Pick by lease optionality Berlin typical term is 5 years with 4 months free; Madrid runs 7 years with 14 months free. ### Pick by transit Berlin: BVG U-Bahn (10 lines), S-Bahn (15 lines), tram, and bus. Berlin is highly walkable and U-Bahn-served. BER airport (opened 2020) is connected via the S-Bahn S9. Madrid: Madrid Metro covers all Class A clusters. AVE high-speed rail to Barcelona, Valencia, Seville, and Lisbon. Madrid-Barajas Airport is 12-25 minutes from CBD by Metro. ## Run a 4-city comparison Score Berlin, Madrid and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD. [**Run a 4-city comparison →**](/tools/city-comparator) ## Frequently asked questions ****Is Class A office cheaper in Berlin or Madrid?**** : Madrid is cheaper on a USD basis: $41/sqft vs $53/sqft. ****Which has better talent depth, Berlin or Madrid?**** : Berlin indexes higher on talent depth (88 vs 78). ****Which has more sublease availability, Berlin or Madrid?**** : Madrid carries higher vacancy (8.6% vs 7.4%) and therefore typically more [sublease](/topics/sublease-strategy)">sublease overhang. ****What lease term should I expect in Berlin vs Madrid?**** : Berlin typical term is 5 years with 4 months rent-free; Madrid typical term is 7 years with 14 months rent-free. ****How does transit and commuter access compare?**** : Berlin: BVG U-Bahn (10 lines), S-Bahn (15 lines), tram, and bus. Berlin is highly walkable and U-Bahn-served. BER airport (opened 2020) is connected via the S-Bahn S9. Madrid: Madrid Metro covers all Class A clusters. AVE high-speed rail to Barcelona, Valencia, Seville, and Lisbon. Madrid-Barajas Airport is 12-25 minutes from CBD by Metro. ## Editorial provenance Reviewed by [**Samuel Okafor**](/about/authors/samuel-okafor) — EMEA contributing editor. Last updated 2026-04-15. See our [methodology](/about/methodology) and [editorial standards](/about/editorial-standards). ### Primary sources for this page - [CBRE Marketview reports](https://www.cbre.com/insights) — CBRE - [JLL Office Insight](https://www.jll.com/en/trends-and-insights) — JLL - [Cushman & Wakefield Marketbeat](https://www.cushmanwakefield.com/en/insights) — Cushman & Wakefield - [Savills World Research](https://www.savills.com/research_articles/) — Savills - [Colliers Global Office Outlook](https://www.colliers.com/en/research) — Colliers [Full sources index](/about/sources) · [Submit a correction](/about/corrections) --- Citation: Source: Class A Atlas (https://classa.info/compare/berlin-vs-madrid), updated 2026-04-15T00:00:00.000Z.