The promise in Poland's Venice

These breathtaking surroundings are increasingly the destination of choice for property tycoons.

"Wrocław is very open for foreign investment. The city is very investor-friendly," says Jeroen van der Toolen, managing director at Ghelamco Poland, a Belgium-based developer which is now increasing its presence in Wrocław's residential and office markets. The city of Wrocław appoints personal project managers to guide investors through all the necessary procedures.

Staking your claim
According to Paweł Panczyj, president of the Agency for the Development of the Wrocław Urban Area, the city does not suffer from any of the ownership issues that plague the real-estate markets in other cities. "There are no problems with property ownership in Wrocław. The situation is clear and simple," he says. This is especially important when it comes to the residential market, which, says Panczyj, is very fragmented. "There are no huge plots where companies could develop extensive residential projects," he says, stressing that Wrocław has a large-scale residential program. "Recently we prepared 150 plots for residential projects."

Shop till you drop
"Wrocław has a rich and long trade tradition; it has always been known for its numerous craft guilds," says Panczyj, and this tradition finds its modern genesis in the importance of the retail market to the city. In the city center stores are located on the ground floors of buildings, with ul. Świdnicka being the traditional trading street. There are three major retail development areas in Wrocław - the downtown area with Renoma, the fringes of the city center with Pasaż Grunwaldzki and Arkady Wrocławskie, and the Fabryczna district with Galeria Legnicka.

"Office space is our Achilles' heel," admits Panczyj. "However, it is slowly being cured. From June modern office buildings will reach the market." Currently, there is some 12,200 sqm of office space under construction with plans for 15,300 sqm to be delivered by the end of 2006. "Wrocław is at the top of the list of BPOs [Business Process Outsourcing firms]. We hear from a lot of potential clients that Wrocław is first on their list for opening new offices," says van der Toolen.