News Article Aurec Capital interview Poland PRS residential
by Michał Poręcki | Interview

Poland's private rental sector is expanding significantly with large players announcing new projects almost every month. Roee Shamir, Managing Director of Aurec Capital Poland shared with Property Forum his insights on the rapidly developing PRS market.

Aurec Capital Poland was one of the first companies that decided to enter the PRS market. Why do you believe that such a product will meet with demand?

I believe the demand is already present, and our solutions, which are addressed to provide lifestyle experience to our tenants, will find its clients. One only need to take a look at our project -  LivUp Jagiellońska 36 in Warsaw in order to see this is already a reality. As in any other country, people need a place to live, and other than ownership, rental solutions provide a wide range of possibilities, as well as flexibilities.

Almost every month another large player announces its expansions on the Polish PRS market. Aren`t you afraid of the competition?  

On the contrary -  we welcome competition, since it enhances the market, and private clients will be able to enjoy more tailor-made products, which is going to be more suited to their needs. The competition will push you to excel in everything you do, and I know for a fact that our projects and solutions are well addressed to today’s and the future environment, and they will bring great value to our tenants.

Roee Shamir

Roee Shamir

Managing Director
Aurec Capital Poland

Roee Shamir is the Managing Director of Aurec Capital Poland, a Polish subsidiary of Aurec Group – a private multidisciplinary global investment company established more than 50 years ago. Aurec Capital Poland operates in the  PRS segment via its LivUp brand. During the course of his career, Roee has gained multidisciplinary experience in several industries, including pharmaceutical, telecommunication, and real estate investments. During the vast majority of his career, Roee was responsible for real estate investments on different continents, including America and Europe, which allowed him to obtain a wide perspective over investments across sectors – residential and commercial. His current role includes full responsibility for the company and its PRS portfolio. More »

To which group of tenants is your brand LivUp addressed?

Our PRS brand – LivUp is addressed to anyone, who value quality and designed living space, inter-connected with additional services and solutions. Our tenant mix is quite wide, and we welcome and respect each and every tenant. Our projects provide a wide range of units mix and layouts, so many different individuals will be able to find their next home.

How is the development of Puławska 186 project going?

The development is progressing very well, and ahead of schedule, mainly due to the good cooperation between us and the developer. We will offer residential units for rent at this location in 2022, and I am convinced that due to its location, as well as the design we have implemented in the units, our tenants will be much satisfied.

Are there any other locations except Warsaw that you are interested in terms of the next PRS projects?

We are currently exploring different opportunities outside Warsaw, and I am convinced that in the upcoming future, we will expand also outside Warsaw into different cities, as our PRS portfolio expands.

Almost all PRS projects in Poland are being realized in a forward funding model. Does it mean that local developers do not have the products suiting your needs?

As part of our strategy -  we own, manage and operate buildings that are fully owned by us, without the co-ownership of private individuals. This approach is common for professional investors and allows us to operate the building the best possible way, for the satisfaction of our tenants. Due to this reason, and since there is no supply of already operational projects that can be purchased 100%, we approach developers in order to purchase advanced projects that are about to be constructed. I believe that in future, once the PRS market will be more mature, we will see investors, who purchase operational projects from other investors – the same as in other counties in which the PRS market started some time ago.

Regarding the product suitability to our needs -  we do amend the layouts of the units, in order to make them more suitable for rental. This is an important part of our strategy, and due to the fact that we will hold our projects for the long term, the design of the unit has a huge impact on the project success.

What are Aurec Capital Poland's investment plans for the coming 18 months?

Firstly, in the upcoming 18 months we will open 2 more locations in Warsaw – in Mokotów and in Praga Północ, in addition to the current project we already have in that district – LivUp Jagiellońska 36. Only this will add more than 350 units to the available units in our LivUp portfolio. In addition, new projects will be added to our pipeline, and our aim is to grow our portfolio to thousands of units in the future.