Investors are increasingly looking towards the eastern European property markets for reasonable returns
Total property investment volumes in Poland, for example, have soared by as much as 50 per cent over the past year, with no signs that buyer appetite is decreasing.
Indeed, investment in the country is now worth 945 million EUR and market analysts are predicting that by the end of 2010 this figure could be as high as 2 billion EUR.
According to the latest real estate investment bulletin from Savills, prime assets in the country have been the main driver of investment, with major cities benefiting from the influx of overseas buyers.
"Overall, investors in Poland are seeking prime assets in the main cities, preferably Warsaw, with offices at the top of their agenda." Brian Burgess, managing director of Savills Poland, confirmed.
"However, due to a decreased development pipeline, there will be a shortage of good quality office buildings over the next 12 months and we therefore expect to see investors focus their attention more on the retail and warehouse sectors."
The Savills research claims that the main investors to Poland were from in Austria, Germany, the UK and France, with the four countries accounting for approximately 90 per cent of total volume in the first half of the year.
- Thursday 09 September 2010