Colliers International summed up office, retail and industrial markets of Katowice and the region in its annual report on the real estate commercial market in Poland.
„2014 was definitely an exceptional year in Poland in terms of the inflow of new investors. Total value of closed transactions exceeded EUR 3,1 billion. The market in Poland is becoming more and more liquid and the increasing number of investors are searching for various types of projects. They are looking for real estate not only in Warsaw, but also in regional cities” – commented Monika Rajska-Wolińska, managing partner at Colliers International.
The year 2014 was characterized by high developers’ activity in Katowice. Seven projects totaling 55 800 sq. meters were completed, which was twice as much as in 2013, according to Colliers. Currently, 43 000 sq. meters of office space is under construction. Gross demand amounted to 43 900 sq. meters, 18% of which was leased in buildings under construction. Due to the high level of new supply delivered in Q4, the vacancy rate increased to 13,2% at the end of December 2014. Land prices for office developments slightly decreased in Poland in 2014. The most noticeable decreases were in Katowice by 3%.
The market of Upper Silesia remained the second biggest retail market in Poland and offers 44 shopping centres totaling 1,1 million sq. meters of leasable area. The density ratio stands at 510 sq. meters/1 000 inhabitants. 88% of stock is represented by traditional shopping centers. During the past year, three new schemes (Marcredo Center Piekary Śląskie – 8 000 sq. meters, Ruda Park – 6 500 sq. meters, Stara Cegielnia – 6 000 sq. meters) and two extensions of existing projects were completed. There are two new investments under construction, which are planned to be delivered to the market in 2015: Supersam in Katowice (21 000 sq. meters) and Galeria Galena in Jaworzno (31 500 sq. meters). The vacancy ratio is currently 3,5%.
An analysis of the tenant structure across main high streets in Polish cities shows that the largest groups of tenants are those in the gastronomy (27%), fashion (11%) and services (10%) sectors. The highest share of stores from the fashion sector and financial institutions among large Polish cities can be found in Katowice – 19% and 14% respectively. The domination of gastronomy is most evident in Wrocław (38%), Kraków (31%), Poznań (30%) and Tricity (29%).
The supply in the second-largest Polish industrial market increased by approximately 89 000 sq. meters in the past 12 months of 2014. As a result, the market offers over 1,56 million sq. meters of modern industrial space. Five projects totalling 122 400 sq. meters remain under construction. The vacancy rate declined slightly during the year, from 9,8% at the end of 2013 to 8,5% recorded in December 2014. In the analysed period, demand for industrial space reached 373 000 sq. meters, leased within 56 agreements. Renegotiations constituted 45% of tenants’ activity.