In 2023, Cavatina Holding successfully continued the construction and commercialization of high-quality office spaces, while simultaneously expanding its activity into residential projects. The group initiated the implementation and pre-sales of three projects. The past year ended with a portfolio of completed projects with a total area of over 300,000 square meters GLA, including nearly 150,000 square meters GLA sold, nearly 40,000 square meters rented under new leases, and began building a residential portfolio with over 650 apartments for sale in projects such as WIMA Widzewska Manufaktura buildings B and C in Łódź and Belg in Katowice. In 2024, Cavatina is focusing on the dynamic development of residential projects in cities like Łódź, Katowice, Wrocław, and Warsaw, aiming to sell over 2,500 apartments, and will continue to commercialize and manage its office portfolio to increase its value.
Cavatina Holding Group has had another intensive but successful year. The developer, hitherto known primarily for unique office and mixed-use projects, in response to changing market conditions and strong growth dynamics in the development market, expanded its activity to residential construction and will now focus on building this part of the portfolio. A strong accent of 2023 was the purchase of attractive land in the center of Warsaw at Chmielna 75, where Cavatina intends to create an impressive complex with a dominant residential function, which will supplement and develop an important part of the city. The concept of an environmentally friendly, multifunctional investment open to the city, based on more than a hectare plot, also assumes cultural and recreational spaces.
“The market environment strongly favors increasing activity in residential projects, so we are planning more investments in this area and a strong focus on the development of this segment within our group. Initially, we are focusing on the implementation of projects based on an existing land bank, the potential of which, considering the possibility of converting selected commercial projects into residential ones, we estimate at over 2,500 apartments. Thinking about the future, we are also looking for more land for residential projects. In parallel, using the acquired know-how, we want to actively manage the portfolio of commercial properties generating revenue from rent, in order to increase its value,” says Rafał Malarz, CEO of Cavatina Holding.
Cavatina Holding continued the diversification of its financing sources throughout the year, successfully issuing bonds and obtaining financing from international banks.
“Over the years, we have established our position as an effective player in the real estate market, which achieves ambitious goals and quickly responds to changes in the macroeconomic environment. Thanks to this, we can count on the favor of individual investors and financial institutions. In 2023 alone, we issued bonds worth over PLN 115 million and successfully completed the process of obtaining financing for the Quorum A project, as well as refinancing the Quorum D and Palio A projects. As a company listed on the Warsaw Stock Exchange since 2021, our goal is to become a dividend company, regularly sharing profits with investors,” says Daniel Draga, Deputy CEO of Cavatina Holding.
“The residential segment will dynamically increase its share in Cavatina Holding’s activity. As a group with all the necessary competencies and experienced residential market architects, engineers, and experts, we can flexibly and efficiently develop our portfolio, aiming to achieve a leading position in this segment. We will gradually bring our housing offer to more Polish cities,” adds Rafał Malarz, CEO of Cavatina Holding.
A Good Year of Rent
Last year, Cavatina Holding commissioned buildings B and D in the Ocean Office Park in Krakow, Cavatina Hall B in Bielsko-Biała, and WIMA Widzewska Manufaktura D in Łódź.
“In 2023, we put into use office buildings with a total area of 40,000 square meters GLA. On the other hand, we signed lease and pre-lease agreements also for nearly 40,000 square meters of offices. We intend to maintain the project portfolio in the Group and boost results with growing rental revenues,” summarizes Daniel Draga, Deputy CEO of Cavatina Holding.
