Regional office market in Poland resistant to Covid-19: report

According to the CBRE report 'Regional office market in Q1 2020', the office space market in regional cities is largely driven by the BPO / SSC sector. This means that in the long run international outsourcing companies will continue to consider and choose Poland as a location for their centers, but in the coming quarters we can expect more activity of local companies.

This situation will return to normal as soon as the pandemic circumstances stabilize at a global level.

It should also be borne in mind that the current situation forcing remote work will be particularly difficult for some sectors, such as banks (due to IT and regulatory restrictions) and some BPO centers, including call centers. Capacity individual companies to support long-term remote work will be key here.

"In the first quarter, regional markets in Poland were resistant to the impact of a pandemic. In the coming quarters, here too, a slowdown in tenant activity will be noticeable. We forecast, however, that it will mostly result from a revision development plans, not a total suspension of operations. On the other hand, however, the performance of the current office space due to limits and distance maintenance will decrease over time pandemic – this will also have to be addressed,” the report reads.

Because it is impossible to predict the duration of a pandemic, any forecasts should be approached with caution. On the one hand, the dynamics of the situation makes it necessary to refrain from hasty actions, but on the other, it forces innovation and developing new strategies to get out of the crisis stronger.

(WBJ)