The impact assessment of the 2022 Russian invasion of Ukraine on the Slovenian construction market must take into account the current volatile situation associated with the pandemic. Even before the war in Ukraine started, building material manufacturers reduced their capacity, either due to logistics problems resulting from the global closure of countries or due to declining demand. As the last wave of the pandemic ended, supply failed to keep up with increased demand and construction material prices began to rise, writes Dr Aleš Pustovrh (Bogatin d.o.o.) for EECFA Slovenia.

People have started to return to their usual shopping destinations. That is reflected in the positive business development of SES Spar European Shopping Centers during the second year of the pandemic. Compared to 2020, significant growth was recorded in retail partner sales, visitor footfall and average spend per purchase. This positive upward trend was recorded by SES in all countries in which it operates centres. Despite the pandemic, in 2021, a total of €22 million was invested in maintenance and sustainable measures relating to the operation of the centres, as well as in project development.

In 2021, GTC recorded an adjusted EBITDA of €113 million (€105 million in 2020) with the net profit amounting to €43 million in 2021 (€71 million loss in 2020). This mainly resulted from a strong operating performance combined with lower loss from revaluation/impairment of assets by €130 million, partially offset by an increase in finance cost by €8 million and recognition of tax expenses of €14 million.

Hungary-based developer Alfa Group has decided to cancel the bond auction within the Hungarian NKP framework in Q1 due to increased interest rates. As the main reason for bond issuance was the need for a financing development pipeline, an alternative source of financing with attractive commercial terms was considered better. 

H2 2021 saw the highest number of newly commenced apartment constructions in Prague since 2008. The total number of apartments under construction rose to 12,630 units at the end of H2 2021. At the same time, the number of new apartments delivered was the weakest annual result since 2011 as only 3,700 apartments were completed. Still, the interest in buying flats was record-breaking, the best since 2016 and 22% above the 5-year average, says JLL in its Prague residential market report.

In 2021, despite the disruption of the pandemic, full-year investment volumes in CEE, totalling €11.07 billion, were up by 6% year-on-year but ca. 20% lower than the same period of 2019. Colliers originally estimated that year-end volumes for 2022 could reach in excess of €12.0 billion, however, the war in Ukraine and ongoing pressures on global economics could impact this outlook, says Colliers in its CEE Investment Scene | 2021 - 2022 report.

The greater openness of Czech organisations to employ people with disabilities has begun to accelerate the necessity of adapting work environments to better meet the needs of this population. According to Colliers, a real estate service and investment management company, this demand has multiplied over the past five years partly due to the application of ESG rules.

Slovakia’s leading real estate event since 2017 is back! Property Forum’s annual conference, Bratislava Property Forum 2022 will gather speakers and attendees representing the most active local and international real estate companies to discuss hot button issues – live and in person, on 8th April.

Globalworth’s net profit in 2021 significantly improved to €47.5 million (2020: net loss of €46.8 million) while it recorded its best year in office leasing with 214,500 sqm of spaces taken up or extended. The company has released its annual report and audited consolidated financial results for 2021.

Hybrid work has accelerated the demand for efficient management of corporate real estate and corporate workplaces to drive real estate rationalization, achieve balanced space utilization and deliver post-pandemic employee experience. The most relevant role in this process will be played by digital solutions that focus on improving the user experience, sustainability, and connectivity in assets. Companies will be looking for an Integrated Workplace Management Systems (IWMS) to deliver the highest value add to their employees, tenants and real estate portfolios as such.