Report about Poznan real estate market has been prepared by the City of Poznan in cooperation with Colliers International. The authors conducted a market analysis of office, retail, warehouse and hotel sector.
Poznań is the major Polish location for trade fairs and conferences. Poznań International Fair is the leader in the national fair and conferences market, as well as one of top organisers of such events in Europe, which are attended annually by almost 500,000 people. Besides Poznań International Fair, there are approximately 100 other locations for business events and meetings in the city. Every year, Poznań hosts over 2,000 events of this type.
“Further development of Poznań will certainly depend on the use of our academic potential. As the Poznań City Hall we act in two ways – initiate and support cooperation between the business and universities but also draw the attention of potential investors to the availability of highly educated people. We care about the diversification of the economy - large and small, Polish and foreign companies develop here. Our recent successes include new investments - Amazon, Mars, DFDS, but also reinvestment projects - Volkswagen, Unilever, Owens Illinois." - says Marcin Przyłębski, Director of Investor Relations Department, Poznań City Hall.
According to data gathered in the Central Hotel Register in Poland, 64 officially categorised hotels were operating in Poznań in February 2014. Almost half of them (48%) were three star hotels, while the smallest group was represented by hotels from the one star category (2 hotels). There are three five star hotels functioning in Poznań: Blow Up Hall 50 50, City Park Hotel & Residence and Sheraton Poznań Hotel. The only hotel project currently under construction in Poznań is PURO, the opening of which is scheduled for 2014.
At the end of 2013, the office stock in Poznań stood at 265,800 m2. In 2013, five office building totalling 23,000 m2 were completed. Currently, there are 70,000 m2 of office space under construction in Poznań. In 2013, leasing activity in Poznań exceeded 36,000 m2, which represented nearly 40% growth compared to 2012. New deals constituted the predominant share in registered demand (74% against 60.7% in 2012). At the end of the year, the average rents for prime office space varied in the range EUR 12.5-15.5/m2 per month, whereas B-class buildings offered rates from EUR 9.5 to EUR 11.5/m2 per month.
At the end of 2013, the total stock of modern retail space in the Poznań agglomeration amounted to 617,500 m2 (within 18 schemes), which ranked the region fourth among largest Polish agglomerations. At the end of 2013, the retail space density ratio in Poznań stood at 757 m2 per 1,000 inhabitants, which makes this region one of the leaders among major Polish retail markets. 2013 was a record year in terms of new supply – 96,200 m2 were delivered to the Poznań market. The most significant was the opening of Poznań City Center (a complex combined with the railway station), which offers 58,000 m2 of GLA. Currently, two projects totaling 16,400 m2 of retail space are under construction (Galeria Dębiec and Galeria A2).
The most popular high street in Poznań is Półwiejska Street, which along with Stary Browar creates a synergy that is translating into an increasing number of customers in both locations. Also Paderewskiego Street, where the popular historical complex Bazar Poznański is located, should be mentioned. It includes a hotel and office space and it also serves as location for luxurious boutiques such as Burberry and Pinko. The area also includes an Escada boutique.
At the end of 2013, the total supply of modern industrial space in Wielkopolska stood at 910,000 m2. During the whole year, only one project, with space of 9,900 m2, was completed. Currently, there are over 217,000 m2 under construction within six projects, which is second largest figure among Polish industrial markets, right after Wrocław. The largest project under construction is an industrial complex developed by Panattoni for Amazon, the planned space of which exceeds 100,000 m2. 2013 turned out to be a subsequent record year in terms of leased space. The transaction volume in Wielkopolska reached almost 430,000 m2 (within 36 signed agreements), which represented a 2.5 times increase in comparison to 2012.