Money comes to the Polish commercial real estate market mainly from other European countries, the Asia-Pacific region and South Africa. The British and Germans spend the most - their expenses in 2019 accounted for as much as 24 percent of the transaction value. The share of Polish capital is still negligible. In 2019, the value of all transactions exceeded €7.7 billion, with Polish entities accounting for just 2 percent of this amount.
“Poland is the largest market in Central and Eastern Europe in terms of the value of investment transactions. We maintain a very strong position and attract foreign investors from around the world. Our location, strong economic position as well as stable macroeconomic indicators are attractive for them. It is a pity, however, that we are not doing very well with the involvement of domestic capital, whose share does not exceed 2 percent,” Przemysław Łachmaniuk, director at the CBRE Capital Markets Department, said.
Office transactions had the largest share in the commercial real estate investment market. In 2019, as much as €3.8 billion was invested in offices, constituting 50 percent of the total volume. The largest transaction was the sale of Building A of the Warsaw Spire complex for €386 million by Madison and Ghelamco to the Immofinanz group.
The next sector in terms of volume invested was the retail sector. €1.92 billion, or 25% of the total volume, was allocated to it. The largest transaction in the sector, as well as on the market in general, was the transaction of a shopping gallery portfolio amounting to approx. €600 million and consisting in the purchase by Cromwell of shares of external investors in the Cromwell Retail Polish Fund.
The third sector in terms of invested capital was the sector of industrial and warehouse facilities, in which EUR 1.54 billion was allocated, which constituted 20% of the market value in 2019. One of the largest transactions in this sector was the sale of Amazon Pabianice and Amazon Bolesławiec facilities with a record capitalization rate of 4.25%.