Industrial and warehouse properties in Poland are becoming increasingly appealing to international buyers, with total volume of investment transactions in this sector growing on average by 20% in the last three years, according to the latest research by international real estate advisor Savills.
According to Savills 'Think outside the Big Box' report, the logistics sector accounted for a record €41 bn of capital deployed in the commercial real estate market in 2017 across Europe, which equated to a fifth of all investment.
In Poland, last year was the third consecutive year of systematic growth in volume of transacted industrial properties. As at the end of H1 2018, the volume of industrial transactions amounted to €337.8 mln, which was the best result recorded ever by this sector in Poland in the first six months of a year.
'We are experiencing a tremendous evolution of the logistics market, driven mainly by double-digit growth in e-commerce and a race towards faster than ever deliveries,' said Tomasz Buras, managing director and head of investment at Savills in Poland.
'That stimulates demand for modern space and gives strong foundations for the rising popularity of investment into the industrial sector.'
Gross demand in the first half of 2018 reached a record-breaking 2.2 million sq m, creating supporting conditions for some rental growth. Currently the highest rents are recorded in Warsaw’s in-town locations (€4.10-5.25 per m2/month).
Poland is also the first country in the world in almost a decade to be awarded an upgrade to developed market status by the global index provider FTSE Russell, as of September 2018.
