Croatia’s remarkable recovery from the brutal impact that the COVID-19 epidemic had on the country in 2020 is, like its construction boom, both real and smoke and mirrors, both temporary and long-term, according to Michael Glazer (SEE Regional Advisors) and Tatjana Halapija (Nada Projekt), the Eastern European Construction Forecasting Association’s members in Croatia.

Bluehouse Capital has sold the Point Shopping Center in Zagreb. CBS International, part of the Cushman & Wakefield Group, acted as advisor on the deal as an exclusive sales representative, ekapija.com reports. The buyer was Slovenian investor TRIGAL Alternative Investment Fund, the company announced on LinkedIn.

Croatia’s commercial real estate investment volume exceeded €290 million in H1 2021, according to a new report by Colliers.

In the first year of the pandemic, the construction market of the SEE region as a whole remained in the positive, and further expansion is expected until 2023. The only exception is Bulgaria where a harsh transition is foreseen for 2023 when the 2014-2020 EU programming period ends financially. The massive growth experienced in the years before 2020 is not anticipated to return. around 3% growth is projected for 2021 and 2022, and a 3% drop for 2023. The countries with the largest cumulated growth on the forecast horizon are Croatia and Serbia, according to the Eastern European Construction Forecasting Association’s 2021 Summer Construction Forecast Report.

M7 Real Estate announced the acquisition of two modern urban logistics assets, both on Slavonska Avenue, Zagreb, Croatia, on behalf of M7 CEREF II.

Commercial property is viewed as having below-average risk levels in most CEE countries. Revenues from different asset classes are expected to recover to pre-COVID levels most rapidly in Poland, according to the RICS Global Commercial Property Monitor for Q1 2021.

The Q1 2021 results of the RICS Global Commercial Property Monitor indicate a slightly less negative market sentiment across Europe compared to the previous quarter. Rental growth expectations remain negative within the office and retail sectors across all European nations covered, while the outlook for industrial markets has never been more positive.

Croatian real estate consultancy firm Spiller Farmer has brokered the sale of a 165,000 sqm land plot in Velika Gorica, near Zagreb, to LogExpert. The new owner plans to build a modern logistics centre of 60,000 sqm on the property.

There were no new completions on Zagreb’s retail market in H2 2020 but a number of brands have opened new stores, according to a market report by Cushman & Wakefield | CBS International Croatia.

The Q4 2020 results of the RICS Global Commercial Property Monitor continue to point to a challenging backdrop across Europe. Both the office and retail sectors remain under significant pressure, with demand still falling sharply amid the difficult economic climate induced by the pandemic. On a brighter note, supported by structural tailwinds, the industrial sector continues to defy this downbeat overall assessment, prompting respondents to upgrade expectations for rental and capital value growth.