In its Impact 2024 report, global real estate services provider Savills analyzes key trends in the global real estate market. The report, which attracts the attention of investors worldwide every year, highlights a number of important trends that are influencing the commercial real estate market. These changes are noticeable both on the international stage and in Poland.
Kamil Kowa, the managing director of Savills Poland, comments on the influence of these global trends on the market in Poland and Central and Eastern Europe.
One of the main themes of the report is the growing role of infrastructure investment, which is becoming a key factor in economic growth worldwide. Global infrastructure investments reached a value of $1.1 trillion in 2023, with a further increase predicted for 2024. Like other countries in the CEE region, Poland is prioritizing infrastructure development, particularly in the areas of green energy, water resource protection, and digitization.
The report highlights that infrastructure attracts real estate investments and Poland can benefit from these global trends. Infrastructure investments in Poland are crucial for improving competitiveness and attracting capital. Record planned investments in energy transformation, as well as projects such as the Central Communication Port, will create new opportunities for the real estate sector.
The report draws attention to changing investor preferences. Globally, investments in the logistics sector increased by 15% in 2023 and the housing sector also gained attractiveness. These trends are also visible in Poland, indicating that investors are showing equal interest in logistics and living sectors, as well as office projects. Despite a noticeable slowdown in 2023, the living sector continues to attract market players, both local and foreign.
A growing interest in projects in the private rented sector (PRS) and student housing (PBSA) opens up new opportunities in the market. Experts from the Operational Capital Markets (OCM) department at Savills emphasize that investors from countries such as the UK, Germany, the US, Israel, Belgium, and the Netherlands, as well as more exotic locations, are interested in the student accommodation and rental property market in Poland.
Poland is also among the leaders in the CEE region in attracting investment to the logistics sector, due to the growing demand for warehouses serving the e-commerce, retail, and 3PL industries. According to data from our latest “Warehouse and Industrial Market in Poland” report, demand for logistics properties increased by nearly 20% year-on-year in the first half of the year.
Sustainable development is another key theme of the IMPACTS 2024 report. The article “Four Elements Fire: Tackling Extreme Urban Heat” emphasized that rising temperatures and climate change are affecting the way cities and buildings are planned. In 2023, global investment in technologies and solutions conducive to sustainable development reached $680 billion.
In Poland, where summer temperatures in 2023 were among the highest in history, demand is growing for buildings that are more resilient to climate change. Investors need to consider climate resilience when planning new projects. This is not just a matter of regulation, but also a response to real market needs.
Geopolitical tensions, particularly the conflict in Ukraine, have a direct impact on the real estate market in Poland and the region. In 2023, according to our calculations, cross-border investments in the region fell by 25% compared to the previous year.
Despite the drop in foreign investor activity, combined with the traditionally low share of domestic investors, the first half of 2024 brought a clear improvement. Some investors point to increased geopolitical risk, but the main reasons for lower activity remain typical: a mismatch between the expectations of sellers and buyers in the face of high interest rates, a drop in tenant activity and rising construction costs.
However, Poland still remains a relatively stable market, attracting investors – especially from the Central and Eastern Europe region – because of its strategic location and stable economy.
In conclusion, the IMPACTS 2024 report shows that global trends, such as infrastructure investments, changing investor preferences, the need for sustainable development, and geopolitical tensions, have a direct impact on the real estate market in Poland. For local players, it is crucial to adapt to these trends and take advantage of the opportunities that the changing investment landscape brings.
Source: https://ceo.com.pl/wplyw-globalnych-trendow-na-polski-rynek-nieruchomosci-82426
