Polish investors set to be the natural buyers

Poland’s economy has significantly benefited from ten years of European Union integration. The stability and assurance of EU membership has helped provide a continual flow of foreign investment. In addition, steady domestic capital creation has helped Poland become Europe’s best example of economic progress. Providing Poland can retain a stable economic environment, then investment into Polish real estate will continue at a healthy rate for the foreseeable future. German open-ended funds have remained the dominant investor-type over the last ten years. Nonetheless, the natural buyers in the long-term should bedomestic institutions and we welcome their eventual emergence – providing much-needed policy changes are made. Despite the peaks and troughs of Polish commercial property yields over the last ten years there is a general trend for gradual yield convergence to Western European levels. However, it is likely to take many more years before Polish real estate can be directly compared to the established markets in the eurozone and the United Kingdom.