Coffee with Craig Show – daily CRE news covering the CEE region, Wednesday, May 24, with Winston Norman, Editor and Chief of EuropaProperty.com.
Genesis Property to deliver retail projects in 8 Polish cities
Pińczów, Łęczna, Żagań, Brzeziny, Ropczyce, Poznań, Łódź and Morąg are the cities where Genesis Property is preparing retail properties. Their commissioning is planned over the next 24 months. Among the tenants who signed lease agreements in the projects under preparation, are such recognized brands as Pepco, Dealz and Rossmann. In total, the new projects will provide over 44,000 sqm (GLA) to the Polish market.
“The Polish retail real estate sector is evolving. Currently, retail properties are being developed in smaller cities, which means that the format and set of tenants must be adapted accordingly,” says Juliusz Wawrzyniak, President of Genesis Property.
CTP leases 25,400 sqm of logistics space to multinational at CTPark Gdansk Port
Warehouse developer CTP has pre-let over 25,400 sqm of logistics space to a German-headquartered renewable energy developer, service and energy solutions provider, at CTPark Gdańsk Port, a major new sustainable logistics park that CTP is developing in Gdańsk.
The multinational has taken 25,400 sqm on a 5.5-year lease and will move in towards the end of 2023 when CTPark Gdańsk Port is scheduled for completion.
The deal between CTP and this global German company is more evidence of the ‘nearshoring’ trend in Central Eastern Europe (CEE) that is growing rapidly among international businesses.
Bogi Gabrovic, Deputy Country Head at CTP Poland commented: “With its strong manufacturing base combined with the human capital of a skilled and cost-effective workforce, where thanks to a lower cost of living wages are lower than in Western Europe, CEE is perfectly placed to benefit from the nearshoring trend.”
Strong recovery for the Bucharest hotel market
The occupancy of Bucharest hotels increased by 33 percent in the first quarter compared with the same period of the last year and remains about 5 percent below the 2019 level. When compared to other cities across the CEE-6 region, Bucharest recorded the second-highest occupancy rate, just behind Warsaw and ahead of Budapest, Bratislava, Prague and Sofia, according to the real estate consultancy company Cushman & Wakefield.
According to hoteliers in Bucharest, the positive performance trend was driven by a strong recovery of individual leisure demand as well as a pick-up of group and corporate travel. The growth was also supported by the increasing quality of hotel offerings in Bucharest with the opening of the luxury hotel The Marmorosch Bucharest Autograph Collection and renovations of Intercontinental Athenee Palace and Radisson Blu Complex.
Sevda Cadir, Senior Hospitality Consultant, CEE & SEE, said: “Bucharest hotel market is witnessing a strong recovery post-COVID in terms of KPIs. The first quarter of 2023 draws the idea of a fruitful year ahead, with the RevPAR level overpassing Q1 2019 level.”
Globalworth signs a large rental contract with eMAG in Bucharest
Office investor Globalworth announced that it has signed an agreement with eMAG, CEE’s e-commerce shopping destination, to set up its headquarters in Globalworth Square in Bucharest.
The newly signed deal is the largest office lease contract so far this year in Bucharest. The space made available to eMAG measures is 10,000 sqm. The building has reached 100 percent occupancy.
“eMAG is one of the biggest players in the e-commerce sector and a company that has unlocked so many business verticals from grocery delivery and food delivery from restaurants to a marketplace for selling used phones,” said Ema Iftimie, Head of Leasing at Globalworth Romania.
“We are happy to establish our head office in such a state-of-the-art building that embeds high sustainability standards. We will continue our journey and our hybrid way of working in a welcoming space that people find inspiring and enjoy working in, added Cosmin Dodoc, VP of People and Organization at eMAG.