Croatia's construction sector is threatened with damage this summer due to the ongoing US-Israeli-Iran conflict. While the pain has not been intense so far, the situation could worsen significantly by mid-June or even late May, according to an analysis by the Eastern European Construction Forecasting Association (EECFA).

Office markets across SEE entered 2026 with strong fundamentals, supported by low vacancy rates in most capitals, limited availability of prime space and strong occupier demand for quality, sustainable offices, according to CBRE research.

CPI Europe has sold two retail parks, Stop Shop San Fior and Stop Shop Terminal Nord Udine, completing its exit from the Italian retail park market. The transaction was finalised under market conditions following portfolio management.

LCN Capital Partners has completed the sale of three Konzum stores in Croatia back to the tenant, successfully exiting the investment with returns exceeding those underwritten at initial acquisition.

Investment group DRFG has purchased the ZTC shopping centre in Rijeka, from Universale International Realitäten, part of the UniCredit Group, for more than €40 million. The transaction marks DRFG's entry into the Croatian real estate market and expands its activities in the Central and Southeast Europe region.

In the East European region, the aggregated construction outlook for next year has remained positive, only the trajectory has changed a little, according to the winter report of the Eastern European Construction Forecasting Association (EECFA). 

CBRE has appointed Martina Tomašević as Country Head Croatia within its South Eastern Europe operations, effective as of the start of 2026. In her new role, Tomašević will be responsible for leading and developing CBRE's business in Croatia across all services and sectors.

Generali Investments, in partnership with Peakside Capital, has closed the Generali Adriatic Value Fund I (Generali AVF I) following the sale of the Arkadia shopping centre in Domžale. The fund has completed its investment cycle, including the distribution of proceeds to investors and the commencement of its formal closure.

Novotel has opened its first hotel in Croatia, marking the Accor brand's debut in the country. Located at the eastern gateway of Zagreb, the 163-room Novotel Zagreb sits 20 minutes from Franjo Tuđman Airport and 15 minutes from the city centre.

CEE economies have been delivering solid GDP growth, outpacing many Western European peers despite external trade uncertainties and recent inflationary pressures, according to Colliers' latest report.