Return of regions<\/strong><\/p>\nWhile investors remain focused on office assets in the capital city, regional markets also drew significant attention, accounting for 23% of total office investment volume in Q1-Q3 2024. In Warsaw, transaction volumes are evenly distributed, with 38% in the central locations and 38% in non-central zones. Finally, prime office acquisitions in the city centres made a notable return, with Stena Real Estate AB purchasing Studio B in Warsaw, and Eastnine acquiring Nowy Rynek E in Pozna\u0144. However, 4 out of 10 transactions in Q3 took place in Mokot\u00f3w and S\u0142u\u017cewiec office zones. Furthermore, Q3 2024 marked the potential return of<\/p>\n
prime transactions with yields below 6%. The largest office deals remain CPI\u2019s shares sold to Sona Asset Management, followed by Stena Real Estate\u2019s purchase of Studio B.<\/p>\n
Highlights:<\/strong><\/p>\n\n- \u20ac999m office investment volume in Q1-Q3 2024<\/li>\n
- 23% share of regional markets in office investment volume in Q1-Q3 2024<\/li>\n
- 32 transactions in Q1-Q3 2024 vs 11 transactions in Q1-Q3 2023<\/li>\n<\/ul>\n
<\/span>INDUSTRIAL<\/u><\/span><\/h2>\nBack in favour<\/strong><\/p>\nIn H1 2024, the industrial market experienced a notable slowdown, with investment volume dropping below \u20ac300 m. However, Q3 saw a strong rebound, with warehouse investments exceeding the entire result of H1. Over Q1-Q3 2024, the warehouse sector accounted for 27% of total investment volume, with 5 notable portfolio deals. 2 of them, which surpassed \u20ac100 m threshold, were concluded in Q3. The Big Five hubs dominated, accounting for over 75% of the industrial volume. Additionally, 3 new investors entered the market in Q3: Greykite, making the largest industrial deal with the acquisition of 3 Diamond Business<\/p>\n
Parks in Silesia, Warsaw and Central Poland; Emira Property Fund by acquiring part of DL Invest\u2019s shares, and Arete who\u00a0purchased Panattoni Park Zgorzelec in the Wroc\u0142aw hub.<\/p>\n
Highlights:<\/strong><\/p>\n\n- \u20ac738m total investment volume in Q1-Q3 2024<\/li>\n
- 5 portfolio transactions out of 18 transactions in Q1-Q3 2023<\/li>\n
- Over 70% share of the Big Five hubs in industrial investment volume<\/li>\n
- 3 newcomers: Greykite, Emira Property Fund, Arete<\/li>\n<\/ul>\n
<\/span>RETAIL<\/u><\/span><\/h2>\nRetail parks still on the wave<\/strong><\/p>\nThe retail sector recorded a total investment volume of \u20ac614 million in Q1-Q3 2024. Retail parks and convenience schemes remain invariably hot assets, making up over 50% of number of transactions, but shopping centres led in value, representing 67% of the total retail volume. Portfolio sales were numerous among the transactions, of which 2 involved shopping centres. The Cromwell portfolio sale was the largest, accounting for nearly half of the retail market volume.<\/p>\n
During that time, market welcomed 2 new investors: Star Capital Finance from the CEE region who acquired 6 shopping centres, and RSA-based Emira Property Fund who took a stake in DL Invest\u2019s portfolio. Moreover, WP Carey\u2019s purchase of over 120 \u017babka stores was the largest Q3 deal in retail sector. Worth noting, Polish investors represented 15% of the retail volume, focusing still on retail parks and convenience schemes and highlighting the value of domestic capital.<\/p>\n
Avison Young brokered 3 significant transactions in analysed period including Centrum Galardia shopping centre in Starachowice, and two retail parks \u2013 Anio\u0142\u00f3w Park in Cz\u0119stochowa and Rock Park Przeworsk in Przeworsk. \u201cMoreover, we are aware of many ongoing deals regarding both shopping centres and retail parks formats, apart from Magnolia Park shopping centre in Wroc\u0142aw and Ozimska Park retail park in Opole already closed in October.\u201d \u2013 adds Artur Czuba, Associate Director, Investment at Avison Young<\/p>\n
Highlights:<\/strong><\/p>\n\n- \u20ac614m retail investment volume in Q1-Q3 2024<\/li>\n
- 6 portfolio deals in Q1-Q3 2024, 2 regarding shopping centres<\/li>\n
- 13\/21 transactions regarding retail parks and convenience schemes in Q1-Q3 2024<\/li>\n
- 2 newcomers: Star Capital Finance and Emira Property Fund<\/li>\n<\/ul>\n
<\/span>PRS & PBSA<\/u><\/span><\/h2>\nRecord-breaking deal<\/strong><\/p>\nIn Q1-Q3 2024, the residential investment market saw 10 transactions totalling around \u20ac320 m. Of these, 9 involved the<\/p>\n
Private Rented Sector (PRS), while 1 focused on Purpose-Built Student Accommodation (PBSA). Warsaw continued to lead in<\/p>\n
the market with 7 deals concluded, while the other 2 took place in Krak\u00f3w, involving projects by Heimstaden Bostad and Xior<\/p>\n
Student Housing and in 1 in Wroc\u0142aw by AFI Home. The standout transaction during this period was acquisition of the Metro<\/p>\n
Zach\u00f3d project, developed by Dom Development, featuring 500 PRS units, making it the largest deal in residential sector so far.<\/p>\n
Highlights:<\/strong><\/p>\n\n- 9 transactions in PRS sector and 1 transaction in PBSA in Q1-Q3 2024<\/li>\n
- domination of Warsaw market in transaction structure, only 3 transactions on regional markets<\/li>\n
- \u20ac320m total PRS & PBSA investment volume in Q1-Q3 2024<\/li>\n<\/ul>\n
<\/span>What awaits us in the second half of the year?<\/span><\/h2>\n\u201cOptimism was evident at the EXPO this year, with Poland continuing to demonstrate strength and stability as an attractive market for real estate investments. We have already witnessed new entrants into the market and expect a resurgence of large<\/p>\n
institutional funds. Based on our own projects and conversations with other market participants, we are seeing a significant number of properties across various sectors currently in the bidding, due diligence, or even finalisation stages. The office sector<\/p>\n
is particularly active, especially in Warsaw-Mokot\u00f3w as well as on a few regional markets, as pricing is more attractive for the buyers. Convenience retail remains a \u201csafe haven\u201d and logistics sector, especially sale and leaseback deals are gaining momentum.\u201d \u2013 concludes Marcin Purgal, Senior Director, Investment at Avison Young<\/p>\n","protected":false},"excerpt":{"rendered":"
Q3 2024 marked a significant resurgence on the market, with 30 transactions completed. By the end of September, the investment market reached \u20ac2.7 bn, reflecting an increase of 60% y-o-y. Following another interest rates cut by EBC, a return of large-scale transactions involving institutional capital is observed. Q3 saw 7 portfolio deals, with 2 exceeding […]<\/p>\n","protected":false},"author":1,"featured_media":4350,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[8,7],"tags":[2752,3854,2553,3087,3571,3056,3206,70,3281,2966,2855,64,74,82,2822,71,3085],"class_list":["post-4764","post","type-post","status-publish","format-standard","has-post-thumbnail","category-real-estate","category-reports-analysis","tag-apart","tag-artur-czuba","tag-avison-young","tag-czestochowa","tag-dom-development","tag-ebc","tag-heimstaden-bostad","tag-krakow","tag-marcin-purgal","tag-opole","tag-panattoni","tag-poland","tag-poznan","tag-warsaw","tag-wave","tag-wroclaw","tag-zabka"],"jetpack_publicize_connections":[],"_links":{"self":[{"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/posts\/4764","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/comments?post=4764"}],"version-history":[{"count":0,"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/posts\/4764\/revisions"}],"wp:attachment":[{"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/media?parent=4764"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/categories?post=4764"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ceo.com.pl\/en\/wp-json\/wp\/v2\/tags?post=4764"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}