Kraków is the largest private student housing market in Poland and the third-largest institutional rental market. The city’s investment attractiveness drives rapid growth in both sectors, and investors show no signs of slowing down.
“The dynamic development of the living sector, encompassing private student housing and institutional rentals, confirms the growing interest in Kraków as a place to live and work. Its convenient location, renowned universities, strong business infrastructure, and modern amenities are just some of the factors attracting investments and strengthening Kraków’s position as one of Poland’s key business hubs,”
— Katarzyna Wysocka, Director of the Entrepreneurship and Innovation Department at Kraków City Hall
Private Student Housing Market (PBSA – Purpose-Built Student Accommodation)
Kraków is one of Poland’s leading academic centers. In the 2023/2024 academic year, over 130,000 students were enrolled at 18 higher education institutions, accounting for 10% of all students in the country. This number continues to rise, particularly among international students, who now make up approximately 7% of the student population (around 8,500 students), marking a 4% increase from the previous academic year.
“Kraków’s strong academic standing drives the demand for student housing. Currently, there are 45 dormitories (both public and private) in the city, offering nearly 18,000 beds. The availability ratio is only 14%, meaning there are over seven students per bed. This low dormitory saturation, combined with the growing student population, presents a significant opportunity for further development in the private student housing market,”
— Dorota Lachowska, Knight Frank
At present, Kraków has eight private student dormitories providing nearly 3,700 beds, with another 1,200 under construction. This makes Kraków the largest private student housing market in Poland, surpassing Wrocław, Łódź, and Warsaw in terms of bed capacity.
The leading private student housing operators in Kraków are:
- Student Depot – 22% market share
- Base Camp – 19%
- SHED Living – 19%
Other key operators include Milestone, Zeitraum Student Housing, and Van der Vorm Living.
Due to high demand, rental prices in private student dormitories continue to rise. As of now:
- Single-room beds cost between 2,250 and 3,400 PLN per month
- Double-room beds range from 1,500 to 2,100 PLN per month
Additionally, students must cover administrative fees, which vary widely from 29 to 325 PLN per month, depending on the amenities offered.
Institutional Rental Market (BTR – Build-to-Rent)
Kraków’s institutional rental market offers approximately 3,400 rental apartments, accounting for 16% of Poland’s total stock. It is the third-largest BTR market in the country, behind Warsaw and Wrocław.
Developer activity in Kraków’s rental segment remains strong. The city witnessed a record-breaking supply increase in 2024, with 1,200 new apartments entering the market. By the end of 2023, 1,940 apartments were under construction, with the largest ongoing project being Resi4Rent Romanowicza, set for completion in the first half of this year, adding approximately 860 new rental units.
“The institutional rental sector will continue to grow, mainly due to the significant housing shortage. Declining purchasing power, coupled with rapidly increasing home prices, is shifting demand towards rentals, including institutional rentals. Generational changes also play a role, reflecting a new approach to long-term commitments,”
— Dorota Lachowska
The strong demand for institutional rentals is evident in the declining vacancy rate. Despite the substantial influx of new units, the vacancy rate dropped to 3.9% by the end of 2024, compared to 6.5% in 2023. The national average at the end of last year was 4.1%.
Rental prices are also rising:
- Studio apartments: 1,600 – 2,760 PLN/month
- One-bedroom apartments: 2,060 – 3,690 PLN/month
- Three-bedroom apartments: Up to 6,260 PLN/month
The Future of Kraków’s Living Sector
With high demand for both private student housing and institutional rentals, Kraków’s living sector is experiencing unprecedented growth. Investors continue to expand their presence in the market, taking advantage of the city’s academic appeal, economic strength, and changing housing preferences.
Source: CEO.com.pl
