TriGranit, celebrating its 20th anniversary in business in 2017, will this year launch its newest development in Budapest, the Millennium Gardens office building that will provide 37,000 sqm GLA for future tenants from H2 2019 on the banks of the Danube, next to MÜPA and the prospective Congress Centre. In 2017, the company also plans to start the development of Building H, the eighth building in its office complex in Krakow, Bonarka for Business (B4B), providing 10,000 sqm GLA, and plans to start the second phase of Lakeside Park in Slovakia with 13,000 sqm GLA. 

All segments of the Hungarian commercial property market have shown signs of strong growth over the last couple of years. Developers embark on a record number of new projects, but most of them soon realise that construction will take more time and be a lot more costly than they initially anticipated. The latest Tea & Talk session, organised by RICS Hungary in Budapest, helped us understand how rising construction costs and labour shortage in construction can be tackled.

This spring the Iulius Company will start the construction works for three new Class A office buildings within the Openville Timişoara mixed-use project, located in the vicinity of Iulius Mall. The three buildings to be developed under the United Business Center (UBC) brand add up to a total area of 73,000 sqm and shall be ready to use within a 12 to 18 months’ term.

Panattoni Europe announced the completion of an investment for Sanden Manufacturing Poland. The facility features close to 6,5000 sqm of warehouse space and was built in Polkowice, next to the existing manufacturing plant. The lease was signed for 12 years.

The amount of industrial space leased in key Central and Eastern European markets in 2016 was the largest ever recorded, totalling 5.7 million sqm. This represents a 25% increase over the preceding two years when about 4.5 million sqm was leased. The strong take-up among tenants was linked with an extensive new development at 2.2 million sqm. The findings are based on the research conducted by Cushman & Wakefield, which has been monitoring the industrial property market in the Czech Republic, Poland, Hungary, Romania and Slovakia over an extended period.

Cushman & Wakefield has been selected to act as property manager for the Grójecka Offices building currently under construction in Warsaw’s Ochota district. The new office building located at 206 Grójecka street will comprise 7 400 sqm of Class A office space and it will be completed in Q2 2017.

Panattoni Europe is developing a fifth logistics centre for Amazon. The new facility featuring 135,000 sqm is being built in Sosnowiec in the region of Upper Silesia. Completion of the project is planned for October 2017.

Poland remains the powerhouse of Central and Eastern Europe attracting close to half the capital invested in the region over 2016 as activity grew 5% over the year to €5.2 billion. According to Cushman & Wakefield, with the uncertainty around upcoming elections in major European countries and the ongoing Brexit challenges, Poland and the CEE region will maintain their strong position as a focus for any pan-European investment strategy.

Orbis has concluded a preliminary agreement for the sale of two Polish hotels, Mercure Jelenia Góra and Mercure Karpacz Resort for a total net price of app. €6.1 million (PLN26.5 million) to an individual investor.

CTP broke ground on its first Polish development in the city of Opole. Initially a 13,000 sqm facility will be built for a long-term client, International Automotive Components.  With additional land available, the park has a planned built-up area of nearly 71,000 sqm.