At end-2016, Poland’s total stock of modern shopping centres, including retail parks and outlet centres, reached 11.2 million sqm of GLA across 479 retail schemes. The Polish Retail Research Forum (PRRF) has summarized the retail market in Poland in H2 2016.
The Warsaw agglomeration (more than 1.5 million sqm of GLA) and the Katowice conurbation (more than 1.1 million sqm of GLA) remain the largest retail markets in Poland. Of the eight major agglomerations, Szczecin has the smallest modern retail stock of 274,000 sqm of GLA.
Among the eight largest retail markets in Poland, the highest retail saturation levels are constantly seen in the Poznań agglomeration (881 sqm per 1,000 inhabitants) and the Wrocław agglomeration (838 sqm per 1,000 inhabitants), whilst the lowest is in Szczecin (495 sqm per 1,000 inhabitants).
After a modest first half of 2016, 327,000 sqm of leasable space in the second half of the year was added to the total modern stock of shopping centres in Poland.
13 new shopping centres were opened in H2 2016, providing a total of 274,000 sqm of leasable space. The biggest openings included: Posnania (99,000 sqm) in Poznań, Galeria Metropolia (34,300 sqm) in Gdańsk, Galeria Navigator (25,400 sqm) in Mielec, and Galeria Wołomin (25,000 sqm) in Wołomin. 66% of leasable space in newly open shopping centres fell on major agglomerations, while the remaining on cities with population below 100,000 inhabitants.
The trend to redevelop and extend older retail schemes continued in H2 2016. Examples include extensions of Atrium Promenada in Warsaw, Cieszyński Retail Park in Cieszyn, or Galeria Rynek in Tomaszów Lubelski.
In H2 2016 owners of Galeria Graffica announced a format change; effective from March 2017 the scheme will operate as an outlet centre.
As of the end of H2 2016, there was approximately 576,000 sqm of modern shopping centre space under construction, around 68% of which is scheduled to be delivered by year-end 2017. The eight largest agglomerations accounted for the largest share in the development pipeline (77%). Extensions of existing schemes make up 8% of the retail space under construction. The largest schemes underway are Galeria Młociny (76,000 sqm of GLA) in Warsaw, Wroclavia (64,000 sqm of GLA) in Wrocław, Galeria Północna (64,000 sqm of GLA) in Warsaw, and Forum Gdańsk (62,000 sqm of GLA) in Gdańsk.
Galeria Młociny. Photo: galeriamlociny.pl
The vacancy rate for the 18 largest retail markets in Poland stood at 3.5% at year-end 2016. The biggest increases in vacancies were in cities that had seen considerably strong competition on the retail market as a result of new openings or launched developments, or in cities where some chains closed their large stores (e.g. Alma or Praktiker).
Among the eight largest agglomerations, the highest vacancy rates were in Poznań (5.1%) and Wrocław (4.6%), whilst the lowest were in the Warsaw agglomeration (1.9%) and the Kraków agglomeration (2.6%).
Among the analysed retail markets comprising cities with 200,000–400,000 inhabitants, the largest share of vacant space were in Radom (7.2%) and Bydgoszcz (6.7%) and the smallest in Toruń (3.1%).
The market situation in the analysed cities with 150,000–200,000 inhabitants appears stable, and vacancy rates stand within the range of 2.0% in Bielsko-Biała and 2.6% in Olsztyn.
The Polish Retail Research Forum comprises six real estate services firms: CBRE, Colliers International, Cushman & Wakefield, JLL, Knight Frank and Savills, whose representatives aim to standardize figures published through collection and comparison of half-yearly data. The market data prepared by a team of analysts concerns modern retail stock, including newly-delivered schemes, development pipeline and the retail space saturation levels (sqm per 1,000 inhabitants). The PRRF has also published its data on the volumes of vacant space in Poland’s key retail markets, including cities of above 150,000 inhabitants.
MAGNOR, a holding company with 100% Romanian ownership, has opened a new location in Iulius Mall, Cluj-Napoca. The launch of the new retail space is part of the company's strategy to expand its network of stores in key urban centres across Romania.
CA Immo has signed two lease agreements totaling around 4,400 sqm in the iconic Danube House in Riverside Karlín, Prague. Allegro will occupy two floors of the building, while Intersnack, an existing tenant, is expanding its office space within Danube House.
M Hospital is inaugurating a new imaging centre at Bucharest-based AFI Cotroceni Mall. The company also operates a similar centre in Veranda Mall.
New appointments
At the beginning of September, Ewa Ciołek and Piotr Meleszko were promoted to Senior Leasing Manager. MLP Group, recognising the internal competencies and achievements of its team, emphasises the importance of further improving the efficiency of its leasing operations, which are key to the company's dynamic growth.
Avison Young's Investment Advisory team in Poland has welcomed a new member, Katarzyna Sielewicz, who takes the role of Senior Consultant. Katarzyna holds a master’s degree in Finance from the Stockholm University School of Business and completed an exchange semester at Cass Business School in London. She gained international real estate experience working with the global Research and Strategic Advisory team at Cushman & Wakefield (formerly DTZ) in London.
Activ Property Services has announced the appointment of Ionuț Grigoraș as Partner in the industrial department. With more than 14 years of experience in the real estate sector, Grigoraș has worked with leading companies such as CTP, WDP, VLParks România, Logicor, P3, MDO, and MLP Group.
AG Capital has appointed Pavlin Petkov as CEO. Petkov brings over 25 years of international experience across the US, Western and Eastern Europe in private equity, insurance, banking, and pension fund management.
WDP has launched development of a 32,000 sqm distribution centre in WDP Park Bucharest – Ștefănești for FAN Courier Group, one of Romania's leading courier and logistics operators. The €22 million investment will be realised by deploying WDP's landbank in North Bucharest, with construction beginning in early 2026 and delivery scheduled later that year.
Construction group HSF System from investment holding Purposia Group has signed a contract to build the Biskupská residential project. The new apartments will be located in an attractive area directly in the centre of Ostrava, near the Ostravice river and Masaryk Square.
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