Cushman & Wakefield has summarised Q1 2021 on the Polish investment market. According to the firm’s experts, this year got off to a positive start, with investment volumes 10% above the five-year average for pre-pandemic first quarters.
The investment volume in Q1 2021 reached €1.25 billion, with office deals constituting 48% of the total, followed by industrial and retail sectors, which accounted for 34% and 15%, respectively. The remainder came from PRS and hotel transactions.
Overall, Q1 2021 in Poland saw less than a one-third decrease in the volume of transactions compared with Q1 2020, but first quarter of this year was similar in volume to the last quarter of 2020 and 10% above the 2016-2020 average for first quarters.
C&W expects growth in volumes across all sectors, with investors’ appetite on the rise and the overall market environment quickly adjusting to new circumstances.
After last year's slowdown of office investments the sector is regaining its momentum as both core investors and new players are on the search for the right product. In the industrial sector yields compress rapidly, with pricing catching up with wider European trends. There is also a growing interest in retail assets, with the first transaction of over 40,000 sqm closed in the first quarter.
In Q1 2021, Cushman & Wakefield was involved in four investment deals for a total of over €280 million. "In the office sector, Cushman & Wakefield’s team brokered several deals representing various strategies, including a prime transaction in Warsaw's city centre (Villa Offices being part of the Warsaw Brewery complex), a benchmark deal in the largest non-central cluster in Warsaw, that is Mokotów Business District (Neopark), and a core transaction in Tricity, which is a leading regional market (Alchemia IV/Neon),” says Marcin Kocerba, Associate, Capital Markets, Cushman & Wakefield.
