The Polish retail market maintains its momentum despite the partial Sunday trading ban. This year’s supply is expected to hit approximately 490,000 sq m, the highest annual level in the last three years. Of that total, 52% will be delivered in cities a population of more than 400,000 while 42% will be handed over in cities with a population of less than 100,000, says global real estate services Cushman & Wakefield in its latest report MARKETBEAT POLISH RETAIL MARKET IN Q3 2018. 1. Retail assets accounted for nearly 45% of the total investment volume recorded in the first three quarters of 2018 2. 42% of the retail space to be completed by year-end 2018 will open in cities with fewer than 100,000 inhabitants 3. Five new brands entered the Polish market in Q3 2018: San Marina, Ximi Vogue, Kocca, Saffiano and Armani Exchange 4. During the first six months of the Sunday trading restrictions in force, average shopping centre footfall was down by 6.6% and turnover fell by 3.0%
Despite geopolitical uncertainty and a slowing in the economic cycle, investment in the global property market has seen a significant rise of 18% year-on-year to a new record high of $1.8tn (2017: $1.5tn), according to research out today from Cushman & Wakefield.
In Central and Eastern Europe*, hotel owners are experiencing record months in terms of average daily rates which was the primary driver of the double-digit RevPAR (Revenue per available room) growth recorded by central European cities in 2017. The growing trend was also seen in the first half of this year (H1 2018). The only exception was Warsaw where RevPAR dropped slightly due to declining occupancy, yet the prices of rooms increased as in other capitals. “In 2018, the growth of KPIs on the Polish hospitality market has not been as rapid as in previous years. Warsaw has witnessed a slight decrease in occupancy levels and RevPar, which was caused mainly by the new supply of approximately 1,200 rooms delivered to the market between H1 2017 and H1 2018. With a strong development pipeline, the city is still catching investors’ eye.” said Maria Zielińska, Senior Hospitality Advisor, Cushman & Wakefield.
The international consulting company Cushman & Wakefield has synopsized the first six months of the year on regional office space markets in its report “MarketBeat: Office Space Regions. Summary 1H 2018”. Over a million square meters – the total office real estate market in Wrocław; Over 950 000 square meters – the total projected volume in 84 office space projects in Poland to enter the market by 2020; 70% - share of BSS lessees in regional markets; 76 000 square meters - the sum total of the five largest transactions on regional markets (the banking sector). In the first half of 2018, the total volume of modern office space at the main regional markets (Kraków, Wrocław, Tricity, Katowice, Poznań, Łódź, Szczecin and Lublin) exceeded 4 637m square meters. Analysts of Cushman & Wakefield, a global real estate services firm, report a high absorption level caused by intensified lessee activity in 2017 and pre-rental agreements of office real estate which is to enter the market this year. As a result, despite a large spike in office space supply, the vacancy rate has gone down.
Global real estate services firm Cushman & Wakefield presents its latest report MARKETBEAT Polish Industrial Market – Summary of H1 2018. The Polish industrial market set three records in H1 2018: The leasing volume hit 2,100,000 sq m – the highest in the first six months of a year; The vacancy rate fell to an all-time low of 4% (573,000 sq m); The volume of warehouse space under construction set a new high of 2,250,000 sq m across 66 projects.
Małgorzata Frąckiewicz, Cushman & Wakefield: As the market develops and, accordingly, the needs and expectations of tenants evolve progressively, introducing new solutions in aged buildings becomes a must. Modernisation and image facelift gives them a chance for a second life and an opportunity to compete with newer properties. A full rebranding is still a novelty on our domestic office market, though many such projects have been launched with huge success abroad in cities such as London, Paris, Brussels or New York.
Global real estate services firm Cushman & Wakefield has published another edition of its MarketBeat report on the Polish retail market. More than 180,000 sq m of retail space was added to the market in H1 2018 and another 330,000 sq m is expected to be completed by year-end 2018. This will represent an increase of over 25% year-on-year (yoy), bringing Poland’s total retail stock to more than 14,800,000 sq m. The new supply will be concentrated in cities with fewer than 100,000 inhabitants, accounting for 40% of this year’s openings.
The overall European logistics yield dropped 14bps to 5.95% in Q2 2018, the first time it has fallen below 6% since Cushman & Wakefield began consistently tracking the three main property sectors in 1992, according to the firm’s DNA of Real Estate report.
Approximately a million bees fly in the sky above Warsaw. They live in hives spread across about a dozen locations in the city, on roofs of both commercial and public buildings. To mark the Grand Bee Day (8 August), global real estate services firm Cushman & Wakefield has prepared a report Hello, I’m a bee. I live on the roof, which sheds some light on hives located on commercial and public utility buildings in Warsaw. Data for this publication was provided, among others, by Capital Park Group, Immofinanz and Skanska.
Global real estate services firm Cushman & Wakefield has published another edition of its Global Retail Services guide for retail sector. The guide presents global and local retail trends in cities and suburban areas, and detailed retail sector information on more than 150 cities in 50 countries worldwide.
Global real estate services firm Cushman & Wakefield has published a summary of the first half of 2018 on the Warsaw office market in its latest MarketBeat report. Effects of the existing supply gap are likely to carry into 2020 when large scale office projects providing a cumulative annual supply of 430,000 sq m will be delivered. As a result, tenants are increasingly opting for pre-lets to secure prime office locations.