Sentiment at Expo Real 2025 in Munich was noticeably more positive than last year, although investors remain increasingly cautious. Capital is not in short supply, but the era of quick, high-risk deals is clearly over. Today, quality and long-term stability are the main priorities. The market is entering a new phase — one of mature selection, analytical evaluation, and strategic thinking.
“Observing the attitudes of participants at Expo Real 2025, it’s clear that the era of unrestrained optimism in the European real estate market is behind us. It has been replaced by mature, selective demand for high-quality assets,”
says Bartłomiej Zagrodnik, Managing Partner and CEO at Walter Herz.
“The meetings we held in Munich revealed a market entering a more demanding stage. Investors are carefully analyzing each asset, focusing on long-term value and predictable returns rather than speculative opportunities. The market is returning to fundamentals — and those fundamentals are quality and stability.”
Stability and Quality Take the Lead
“The chase for quick bargains is over — investors are turning toward quality,”
Zagrodnik adds.
“The key investment criteria today are market stability, high asset standards, and ESG compliance. Investors are focusing on the best-class properties that combine strong fundamentals with environmental performance.”
“Expo Real 2025 showed that investors no longer view the real estate market as a uniform whole. Instead, they focus on top-tier assets within each sector — those offering high standards, sound valuations, and locations ensuring long-term stability,”
explains Emil Domeracki, Partner and Board Member, Land Development Advisory at Walter Herz.
“Questions about Poland are no longer about its economic potential — that’s beyond doubt. With one of the highest GDP growth rates in Europe, Poland is seen as a safe haven and a regional growth engine. The key question now is how to identify projects that will be leaders ten or twenty years from now. As advisors, that’s where we see our strategic role.”
Domeracki also notes that while liquidity is improving, the market remains far from euphoric.
“Every project is analyzed for its long-term income-generating potential. Market participants are waiting for central bank decisions on interest rates, which will be crucial to unlocking full transactional potential in the coming quarters,” he says.
“At the same time, the rise of domestic Polish capital is extremely encouraging — it now accounts for around 15% of all real estate transactions in Poland. Local investors understand the market’s specific conditions and see opportunities that many international funds still overlook.”
Logistics: The Investment Leader
Despite increased investor activity across the CEE region, including Poland, the market remains highly selective, with relatively low transaction volumes. A persistent pricing gap between buyers and sellers continues to limit deal closures — especially for large office and retail assets.
In contrast, logistics real estate remains the undisputed investment leader, attracting strong demand from global players.
The warehouse and industrial segment is currently the most sought-after investment category, fueled by nearshoring trends (moving production closer to European markets) and the continued expansion of e-commerce. As a result, Poland is strengthening its position as Europe’s strategic logistics hub.
“Poland has become synonymous with European logistics. In Munich, nearly every discussion about supply chains ended with a reference to our country,”
notes Zagrodnik.
“Interest in logistics projects — from both tenants and investors — remains robust. And it’s not just about standard warehouses anymore, but about advanced, ESG-compliant logistics ecosystems. Despite the maturity of this sector, its growth potential is still remarkable.”
Land Development and ESG: A New Strategic Priority
“Demand for well-prepared land suitable for logistics, PRS (Private Rented Sector), and data center projects is very high,”
says Domeracki.
“However, land development today goes far beyond just acquiring plots. The key is to prepare sites in line with ESG standards from the earliest stages. Investors now evaluate not only the availability of land but also its due diligence, green energy access, and potential for certification and sustainable financing.”
He adds that long-term regulatory foresight is becoming essential:
“Predicting future ESG and construction regulations over a 10-year horizon is now part of value creation. That’s what conscious capital is looking for.”
PRS: From Niche to Strategic Segment
One of the most talked-about topics at Expo Real 2025 was the institutional rental housing sector (PRS), confirming its rise as one of the most promising market segments.
“Demographic and social changes, increasing job mobility, and the growing acceptance of renting as a lifestyle are creating a solid foundation for stable demand,”
Zagrodnik emphasizes.
“A sector that was once niche is now becoming a strategic component of institutional portfolios. Rental housing has entered the investment mainstream.”
A Market of Cautious Optimism
The mood at Expo Real 2025 reflects a new, more disciplined investment reality. Capital remains available, but its deployment is guided by analysis, prudence, and long-term value creation. Investors are no longer chasing speculative gains — they are building resilient portfolios that can withstand market cycles and regulatory shifts.
Expo Real 2025 has confirmed that the future of European real estate lies in stability, sustainability, and strategic foresight — values that increasingly define Poland’s position as one of the most attractive and reliable markets in the region.
Source: CEO Magazine – “Cautious Optimism and a Turn Toward Long-Term Strategies: Expo Real 2025 Report”
