Savills has examined both employee-driven and occupier/employer-driven factors to assess which global cities may see a faster transition to hybrid working post-COVID-19. From an office occupier perspective, New York, Paris, London, Berlin and Frankfurt may be primed for a faster transition to hybrid working, given comparatively high office costs, already flexible working practices and extended lockdowns, while less flexible working cultures in Mumbai, Shanghai and Ho Chi Minh City mean that any transition to hybrid working may be slower.

New York, Los Angeles, London, Tokyo and San Francisco are the top five most resilient cities in the world, according to Savills, as they continue to harness their power as gateway locations, benefitting from a virtuous circle of large companies gathering to take advantage of business ecosystems and large talent bases, thereby attracting more talent, contributing to strong economic performance and robust real estate markets.

Real estate advisory firm Savills has been appointed as sole letting agent for office space in the Grunwaldzki Center in Wrocław.

According to Savills latest research, London City and West End, Paris and Warsaw’s office markets appear most attractively priced in Europe this year due to the opportunity for yield compression and/or attractive yield spreads to risk free rates.

According to Savills, the development pipeline for the Czech industrial market reached the highest level in history in Q1 2021. There were 47 industrial buildings in various stages of construction with a total rentable area of 734,200 sqm across the country. Speculative projects represented 36% of this construction pipeline, which was well below the 10-quarter average of 46%.

According to Savills, the food sector is becoming the new core in retail property investment. Last year, for the first time, investments in supermarkets, hypermarkets and food discount stores accounted for a record 21% of total European retail activity, up from a five year average of 7%.

A total investment volume of €290 million was transacted in the Czech Republic during the first quarter of 2021, according to Savills’ latest research. Without the exceptional €1.3 billion Residomo portfolio sale transaction, the investment volume was only down by 8% y-o-y.

Over the year, since the COVID-19 pandemic arrived in Poland, the Warsaw office market has seen a marked decrease in occupier demand and office stock under construction amid rising vacancy rates. Although the past 12 months have been challenging for the office sector, companies are no less keen to have an office of their own, says real estate advisory firm Savills.

According to the latest Savills research, at figures ranging between €4.60-5.30 per sqm per month, out of 54 markets analysed, Prague and the Polish cities of Katowice, Wrocław, TriCity and Poznań are among the ten cheapest locations for renting a modern warehouse globally. In Europe, Poznań (€4.68/sqm/month) is the most cost-effective location with only certain cities in India and Vietnam having lower overall warehousing property costs.

According to a recent report from Savills, an additional 8.6 million sqm of warehouse space is required by parcel companies in Europe between 2021 and 2025 to keep up with growing e-commerce demand.