Retail parks and convenience segments remain a focal point of real estate discussions. About half of all transactions took place in retail parks and convenience facilities in 2023, making up 56 percent of the sector's total investment volume. By the first quarter of 2024, Poland has already seen four transactions involving such assets, with Avison Young acting as the advisor on the selling side. The finalization of additional projects is also scheduled for the near future.

Polish TERG, which is developing the Aura Park chain of retail parks, was the most active buyer. There is a noticeable shift towards larger projects, as three of the four retail parks sold exceed 5,000 sqm of GLA and are brand new (less than two years on the market). There are currently 37 larger retail parks (GLA > 5,000 sqm) under construction or expansion, including six that exceed 20,000 sqm. 

“Retail parks continue to be regarded as a reliable and secure investment option, often offering a more cost-effective entry point, with the average transaction value typically ranging between €5-15 million. What should be highlighted, despite challenges such as the COVID-19 pandemic, the war in Ukraine, and inflation, the retail sector has demonstrated remarkable agility in adjusting prices to meet buyers’ expectations,” Artur Czuba, Associate Director, Investment at Avison Young, commented.

(WBJ)