Coffee with Craig Show – daily CRE news covering the CEE region, Friday, December 16 with Winston Norman, Editor and Chief of EuropaProperty.com.
Urban industrial & logistics, essential retail, affordable housing and real estate debt likely to be safest havens in 2023
The latest Savills Investment Management global investor outlook report highlights how investors need to go back to basics and assess the fundamentals in order to weather what is likely to be a challenging year for property markets. Nevertheless, opportunities will present themselves as there is value to be found in every sector.
Savills IM sees select opportunities in asset classes with strong long-term fundamentals such as urban industrial and logistics, affordable housing and essential retail.
Kiran Patel, Global Chief Investment Officer and Deputy Global CEO, of Savills IM, commented: “In the residential sector, we are positive on the outlook for affordable housing, where the role of private capital is only set to grow in importance.”
Piotr Trzciński, Head of Poland, Savills IM, said: “In Poland, the rental growth is underway, especially for prime office, logistics and BTR sectors which offsets decompression of yields to an extent.”
Sirin Development certifies entire warehouse portfolio under BREEAM
Sirin Development, an industrial real estate development and management company operating in the Baltics, has certified all its warehouses under the BREEAM standard. The company has certified 11 industrial properties – eight in Lithuania and three in Latvia.
“We are among the first in the Baltics to certify our portfolio of warehouses fully – all our buildings have earned a BREEAM In-Use rating of VERY GOOD,” Sirin Development CEO Laurynas Kuzavas says.
He adds that BREEAM not only enables the effective implementation of sustainability solutions in developed properties but also brings clear tangible benefits to clients. “With energy prices up, lower maintenance and utility costs are extremely important for warehouse tenants. Moreover, certified buildings are more commercially successful, cheaper to maintain and have a higher residual value.”
Panattoni to deliver warehouse for Trivium in Kraków
Panattoni is set to exceed a quarter of a million sqm in the Małopolska region in the coming months. One of the developer’s investments is Panattoni Park Kraków North, which will eventually reach 55,000 sqm. The entire development will be completed in mid-2023.
The first building of 30,000 sqm is to be ready at the beginning of the year. Trivium Packaging – a global manufacturer of metal packaging with more than 60 production facilities on five continents – will occupy 21,000 sqm there.
“We strengthen our position in the Kraków market and confirm the huge potential of the region for international operations”, says Michal Samborski, Head of Development at Panattoni.
Valeo moves into DL Invest Park Czechowice
Valeo has moved into a project developed by DL Invest Group in Czechowice Dziedzice and has taken up a total of several thousand square meters of warehouse and office space. Valeo is a French company that produces car parts for the primary and secondary markets, and its customers include leading global automotive brands.
“DL Invest Group primarily focuses on high-quality and focuses on long-term relationships with tenants,” says Wirginia Leszczyńska, COO at DL Invest Group responsible for the company’s development of the warehouse and logistics markets.
CMS takes up residence in Varso Tower
International law firm CMS has relocated its Warsaw headquarters to the Varso Tower building, a new development for the Polish capital from HB Reavis. The firm moves into a new generation office of over 7,000 sqm.
CMS’ new Warsaw office occupies five levels, from the 39th to the 43rd floors, and its new space is significantly larger compared to the previous location.
CMS Poland managing partner Andrzej Pośniak said: “We continue to build on our market position based on quality relationships, both within our team and with our clients. It is important for us to stimulate creativity, develop and exploit innovations and, above all, to cooperate.”
New properties under Colliers management
Colliers has taken over the management of three office buildings in regional cities – Carbon Tower in Wrocław, Ocean Office Park A and Tischnera Office in Kraków – with a total area of 66,000 sqm.
“We continue to observe the interest of foreign companies in locating their investments in the Polish regional real estate market, and Wrocław and Kraków are among the best developing office sectors right after Warsaw”, says Agnieszka Krzekotowska, Senior Partner and Director of Property Management at Colliers.
By taking over the management of two more projects in Kraków, Colliers Property Management department is already managing 8 buildings in the city, with a total investment area of over 166,000 sqm.