Poland will come off sidelines as investors recognise benefits

Despite last year’s challenges Poland’s real estate markets make the country an attractive destination for foreign investment according to Colliers director Piotr Mirowski, head of investment services.

“Poland is too strong a player and has too much potential to be kept on the sidelines for much longer,” he told Real Asset Insight’s Richard Betts.

“I think that this year will be much stronger and will see a lot of liquidity coming back into the key asset classes.”

Offices and logistics are “the pick of the bunch” in terms of sectors in Mirowski’s view.

“There is so much intrinsic growth embedded in business and everyone sees the potential to grow beyond what we’ve already accomplished,” he said, adding that the office market benefitted from last year’s re-pricing and “recalibration” of tenants.

Supply/demand dynamics are also playing a part. There will be less construction, tenants still perceive Poland as a key destination and the political climate and macro fundamentals are favourable.

And 2024 has got off to a good start. “The beginning of the year really surprised us in a positive manner. Transactions are being initiated, deals are getting signed off, we see investors going into exclusivity. There will be much more transactional activity this year and the first quarter will see a few interesting deals being announced.”

He said that this will push the wider investment community to have another look at Poland.

“The first wave will most probably be from the region including the Baltics to Austria. But we feel that towards the end of 2024 there’ll be much more traditional capital looking at Poland because we’re a major economy and there is a clear path for medium-term growth.”