Business slowing down on the commercial market

Last year investors bought commercial real estate worth €2.8bn, which was €2bn less than in 2006, according to analyses carried out by specialists from Cushman&Wakefield.
Not only did the value of contracts decline, but so did their number. On the other hand, the focus of interest among investors remains unchanged – transactions involving retail real estate were the most popular, followed by office stock in second and warehouse facilities in third.

Last year investors bought commercial real estate worth €2.8bn, which was €2bn less than in 2006, according to analyses carried out by specialists from Cushman&Wakefield.
Not only did the value of contracts decline, but so did their number. On the other hand, the focus of interest among investors remains unchanged – transactions involving retail real estate were the most popular, followed by office stock in second and warehouse facilities in third.

Nevertheless, investors remain quite aggressive on the Polish market, especially with regard to office space, C&W analysts cited by Rzeczpospolita claimed. This is because rising rents make offices an excellent capital investment. Likewise, demand for retail space is still robust in Poland’s largest cities, especially with regard to modern shopping malls and retail parks. Meanwhile, in spite of an increase in contracts involving warehouse and logistics space in 2007, their share in the total volume of commercial transactions last year was only 6%.