Warehouse transactions temporarily slowed

After the record-breaking year of 2021, investor activity in the Polish warehouse real estate market has temporarily slowed down due to macroeconomic turbulence and uncertainty related to the outbreak of war in Ukraine, according to analyses by law firm DLA Piper. However, investors' interest in logistics facilities will grow in the longer term.

The Polish warehouse market is dominated by foreign investors, mainly from the European Union and the USA. The share of investors from Asia, including Singapore, South Korea, and the Middle East, is also slowly growing, according to DLA Piper, a leading law firm in transactions handled in the domestic warehouse real estate market. A record number of portfolio transactions were concluded in Poland last year, with the value of investments in the logistics market reaching €2.8 billion, according to data from consultancy JLL.

DLA Piper expects the transaction volume in the warehouse market to be significantly lower this year. The geopolitical and economic situation has undoubtedly influenced this. The outbreak of war in Ukraine and galloping inflation make investors wonder what to do next and look for clues as to how the situation will develop.

(WBJ)