CEE property investment tipped to stay at EUR 6b in 2012 - JLL

Central and Eastern Europe, excluding Russia, is expected to attract a similar volume of real estate investment this year compared to the EUR 6.4 bn recorded in 2011, according to Jones Lang LaSalle.

The property adviser told a seminar in London earlier this month that CEE remains attractive to an international business community. The seminar was designed to share information and knowledge on doing business in the Central and Eastern European countries. Over 120 international business delegates attended, representing SMEs, through to companies with £1 bn (EUR 1.25 bn) per annum turnover.

Keynote speakers included nine British ambassadors to the region, along with John Duckworth, managing director CEE and George Lewis, head of Capital Markets, Czech Republic, both from Jones Lang LaSalle.

'Investors are lured to the region by a blend of factors including a fast growing economy, strong retail sales in countries such as Poland, and a significant pipeline of new investment products which are of institutional quality, Lewis said.

'More newly built properties are being given Green certification which enhances the asset quality and makes the region one of the European leaders in sustainability. Other factors making Central and Eastern Europe an attractive destination for international capital is reduced investor competition due to a relative lack of domestic buyers and a discount in pricing between the region and core Western European markets,' he added.