Poland's retail market expanded by 24,500 sqm in Q1

Poland's retail market expanded by a modest 24,500 sqm, and nearly 665,000 sqm of new floor space in various retail formats is currently under construction, according to a report by JLL.  "One new project of 21,000 sqm - Galeria Glogovia in Głogów - was delivered to the market. In addition, one of the stages (3,500 sqm) of the extension of Atrium Promenada in Warsaw has also been completed,” commented Anna Bartoszewicz-Wnuk, Head of Research and Consulting at JLL. Overall supply of modern retail space in Poland is around 13 million sqm with shopping center supply making up 9.29 million sqm of this total. Other retail formats on the market include: retail parks – 1.45 million sqm, retail warehouses – 2.07 million sqm and outlet centres – 209,000 sqm. Prime rents, which refer to shop units of 100 sqm that are earmarked for fashion and accessories and which are located in the best-performing assets, are traditionally higher in Warsaw and are €130 /sqm/month. Rents in prime assets located in other cities seem to be holding at their previous levels.

At the end of 2015, the average retail vacancy rate in major agglomerations was 2.9 percent.