In the past twelve months, retail properties have tried to make up for the challenges faced in the first year of the pandemic. Summarizing 2021 for the modern retail space sector, experts from BNP Paribas Real Estate Poland pointed to several key phenomena regarding the sector, including: a quick return of shoppers to retail facilities, retail parks standing becoming stronger, e-commerce continuing the way of the stable growth, as well as the increasingly important role of sustainable development and ESG policy.

Cushman & Wakefield expands its sustainability and ESG services. In the Central and Eastern European region, Tereza Jelínková will lead the coordination of Cushman & Wakefield’s sustainability teams.

Real estate consultancy Colliers has appointed Oana Stamatin as ESG (Environmental, Social and Governance) Chief Officer in Central and Eastern Europe (CEE). 

Despite the pandemic triumph of e-commerce, customers are not giving up on shopping in brick-and-mortar shops. Brands wanting to benefit from the synergy of these channels implement innovative formats and compete for customers' attention with technology and environmentally friendly products. However, retail parks and convenience centres continue to enjoy popularity among investors and developers, says JLL.

An increasing number of value-add investment opportunities will emerge in 2022, said Savills, as decarbonising buildings and ESG-requirements create redevelopment opportunities across Europe.

P3 Group announced the issuance of its inaugural senior unsecured RegS dual-tranche green bonds across 4- and 7-year tenors, in an aggregate principal amount of €1 billion. The bonds, which will be traded on the Euro MTF Market and listed on the official list of the Luxembourg Stock Exchange, will bear a fixed coupon of 0.875% for the 4-year tenor, and 1.625% for the 7-year tenor, and are expected to be rated BBB by S&P, in line with the corporate rating.

CPI Property Group has become the first real estate company from CEE to issue sustainability-linked bonds. The sustainability-linked bonds were issued in the amount of €700 million, with an annual coupon of 1.75% and a maturity date of 14 January 2030.

After issuing a green bond in 2020, CA Immo signed its second sustainability-linked financing instrument at the end of 2021: a €300 million 3-year revolving credit facility (RCF) with two one-year extension options, whose margin is amongst others tied to the company's sustainability performance.

Immofinanz announced its new Net Zero Emission Strategy. Plans call for a reduction of 60% (below the 2019 level) in all greenhouse gas emissions by 2030 – and by 2040, the company intends to be emission-free along the entire value chain.

Skanska aims to cut its emissions by 70% as early as 2030, while more investors are looking for ESG-compliant projects in CEE, Skanska’s Adam Targowski, Environmental Director, Center of Excellence and Aurelia Luca, Executive Vice President Operations Hungary and Romania tell Property Forum in an interview.