After a record breaking 2021, investment volumes both in Estonia and Latvia returned to a “normal” EUR 300 million yearly level in 2022, while the end of the year was active in Lithuania with total investment volume exceeding EUR 165 million in Q4 and EUR 625 million in total last year. As a result, the Baltic investment volume has reached 1,2 bn euros in 2022. 2023 is expected to see a slowdown in investment activity, especially in the first half of the year as buyers continue to adopt a rather wait-and-expect-a-better-price attitude. The investment market is expected to be led by local players and a higher proportion of smaller lot-size transactions, which in turn will impact total investment volumes achieved in the Baltics. Overall, total investment volume in the Baltics is expected to remain below the traditional EUR 1 billion threshold in 2023 with the majority of transactions expected in the second half of the year. Cross-border cooperation might become more noticeable: investors as well as some other market players from the Baltics are looking for opportunities in Poland and other CEE countries, while several foreign retail chains and brands consider the Baltics as an opportunity.