December 31, 2018

Record follows record –historic year for real estate investment market in Poland

Record follows record –historic year for real estate investment market in Poland

JLL presented the preliminary summary of the commercial real estate investment market in Poland.

"The total value of commercial real estate investment transactions may exceed €6.3 billion for 2018 - the best ever result for the country's market. Interestingly, the office sector caught up with the retail segment – we expect transactions worth more than €2.4 billion in each segment. The office sector beat its 2006 record by €200 million while retail matched its own record also set in 2006. Strong results are also expected on the industrial market – with transactions exceeding €1.3 billion. This proves that international capital is interested in the diverse asset classes that Poland offers, which in turn enhances the position of the country’s real estate investment market," commented Agata Sekuła, Head of Retail Investment CEE, JLL.

The 2018 total for hotel investment transactions is expected to come in at around €70 million.

The largest retail investment transaction, concluded in 2018, was the one billion euro sale of a portfolio of 28 retail properties by ARES/AXA/Apollo Rida to Chariot Top Group. In the office sector, HB Reavis sold Gdańsk Business Center II to EPF for over €200 million. Both of these transactions were concluded with JLL’s investment advisory.

The largest industrial transaction concluded in 2018 was the acquisition of Prologis portfolio by Mapletree Investments for around €260 million.