Upload
others
View
0
Download
0
Embed Size (px)
Citation preview
Polish cities - oice destinations
Wroclaw
CracowKatowice
Lodz
Poznan
Tricity
Warsaw
Capital city, beneiting from its status
1 Source: Statistics Poland, June 2019 2 Source: AXI IMMO, July 2019
Over 50,000 employees in the Shared Services/ BPO Sectors
Very high availability of students, graduates and oice space
Macroeconomic overview1
Key Oice market igures H1 20192
Key indings
Population
1.77 mln
Unemployment rate
5.5mln sq m
Stock
80,500sq m
New supply
731,000sq m
Under construction
405,000sq m
Gross take up
8.5%sq m
Vacancy rate
1.4%
Fitch ratingA-
Average gross monthly salary
PLN 6,393(EUR 1,486)
Number of students
246,000
Graduate per annum
58,000
123
Warsaw
Not surprisingly, Warsaw is the largest oice market in Poland with over5.5 mln sq m of modern oice space and constant supply of modern projects.
Recent completions include: Moje Miejsce, Spark B, Vector+, Browary Warszawskie, Koneser, Equator IV, Proximo II. Currently, there is almost 800,000 sqm of space under construction, with approximately 50% is already secured on pre-lets, and 2020 alone can see over 400,000 sq m scheduled to be delivered. Many of these are oice towers: The Warsaw Hub, The Unit, Skyliner and Varso (the tallest building in CEE).
In Warsaw in H1 2019 over 400,000 sq m have been leased. Vacancy is at its lowest level since 2012 currently at 8.5%, with only 5.6% in the city centre. Major recent transactions include: mBank (largest transaction to date at 40,000 sq m), Deloitte, Citibank, Getin Bank, AXA, WeWork (several locations).
Oice market commentary
Warsaw is the capital and the largest city of Poland, centrally located, with 3.1 million inhabitants within the greater metropolitan area. Its historical Old Town was designated a UNESCO World Heritage Site.
Once described as the "Paris of the North", Warsaw was believed to be one of the most beautiful cities in the world until World War II, when 85% of the city had been destroyed. Therefore, the city had a unique chance in redeveloping nearly from scratch. City of Warsaw is the most recognized business destination in the CEE region, cultural and administrative centre of the country.
Warsaw has the highest absorption of young population from other agglomerations.
Warsaw was ranked 2nd place in fDi Eastern Europe City of the Future 2018/19.
Warsaw
Asking rents
city centre:
EUR/sq m/month
20.0 – 24.0
outside the city centre:
EUR/sq m/month
11.5 – 18.0
Business Services Sector – EUR 1,86 bn of generated economic value,90% employees with universitydegree, 29 languages used each day
The second-largest oice market in Poland, with 1.34 mln sq m of modern oice space at the end of H1 2019. In 2018, 120,000 sq m were delivered to the market in almost 20 new projects, including: Equal Business Park C, O3 Business Campus, High 5ive, Podium Park. Another nearly 200,00 sq m is expected to be delivered in 2019 in 20 schemes, including V.Oices and Unity Centre.
Take up in 2017 and 2018 was at 150,000 sq m p.a., while H1 2019 exceeded 135,000 sq m. Although vacancy grew slightly over the last few years, it is still the most attractive regional market in Poland, with vacancy currently at 10%. Largest recent transactions include: Capgemini, UBS, Cisco and Sabre.
1 Source: Statistics Poland, June 2019 2 Source: AXI IMMO, July 2019
One of most visited cities in Europe
Nearly 60% of modern oice space is occupied by Business Services Sector, with over 60,000 employees
Macroeconomic overview1
Key Oice market igures H1 20192
Key indings Oice market commentary
Population
Cracow is the second largest and one of the oldest cities in Poland, located in the South of the country. Previously, it served as the capital of Poland and seat of the Crown. Its’ historical Old Town, Kazimierz district and Wawel Castle were designated UNESCO World Heritage Sites.
With over a 1,000 year history, it has traditionally been one of the leading centres of academic, economic and cultural life. Cracow is the home of the Jagiellonian University, one of the oldest in the world, established in 1364. Cracow as a business centre has been steadily improving over the last decade and the city has turned into one of the most vibrant business clusters in Poland.
771,000
Unemployment rate
1.34mln sq m
Stock
90,000sq m
New supply
190,000sq m
Under construction
135,000sq m
Gross take up
10.0%sq m
Vacancy rate
2.3%Average gross monthly salary
PLN 5,685(EUR 1,322)
Number of students
148,300
Graduate per annum
43,300
123
Cracow
Cracow
Asking rents
city centre:
EUR/sq m/month
13.5 – 15.5
outside the city centre:
EUR/sq m/month
10.5 – 14.5
Fitch rating
A-
Strong regional market, also beneits from the proximity of German and Czechia borders
1 Source: Statistics Poland, June 2019 2 Source: AXI IMMO, July 2019
Nearly 50% of modern oice space is occupied by the Business Services Sector – “Polish Silicon Valley”
Prestigious academic centre, with numerous universities delivering well-educated experts to the market
Macroeconomic overview1
Key Oice market igures H1 20192
Key indings
Asking rents
Population640,600
Unemployment rate
1.07 mln sq m
Stock
90,000sq m
New supply
210,000sq m
Under construction
38,000sq m
Gross take up
9.3%sq m
Vacancy rate
1.7%
Fitch ratingA-
Average gross monthly salary
PLN 5,469(EUR 1,272)
Number of students120,000
Graduate per annum
30,400
EUR/sq m/month13.0 – 15.0
123
Wroclaw
Wrocław is the third-largest oice market in Poland, just exceeding 1.07 mln sq m of modern oice space. In 2018 as much as almost 150,000 sq m were delivered to the market in 14 projects (i.a. Sagittarius Business Park, Retro Oice House and owner occupied Santander Bank Building and West Link). Another 100,000 sq m are expected to be delivered to the end of 2019.
Take up in 2018 reached a record-breaking 160,000 sq m, although H1 2019 saw a decline in activity to just below 40,000 sq m. A majority of the new transactions are pre-lets. Vacancy is stable at 9.3% at the end of H1 2019. The largest recent transactions include: Santander Bank, Nokia, Credit Agricole, IBM, Olympus.
Oice market commentary
Wrocław is the fourth-largest city in Poland, located in the south-western region and second most aluent after Warsaw. With over a 1,000 year history, the city is the historical capital of Silesia and Lower Silesia. Wrocław has experienced diverse inluences from various regions of Europe. It is a regional science and economic centre. The University of Wrocław has proudly produced a number of Noble Prize winners.
Wrocław is one of the most dynamically developing cities in Poland. Strong and technology driven business hub (the so-called Polish Silicon Valley), attractive both service and manufacturing companies. Over recent years it has become one of the largest and the most important regional oice market in the country.
Wroclaw is the 2nd fastest growing city in Poland in terms of GDP.
City with the 2nd English proiciency in Poland (English Proiciency Index 2018).
Wroclaw
Major economic hub in northern Poland
Attractive location by the sea, high quality of life
Diversiied entertainment, cultural and sports offer
Number of high-tech and Scandinavian businesses
The largest deepwater container terminal in the country
1 Source: Social Diagnosis, 2017-2018 2 Source: Opinion of Polish executives and managers, Antal, 2017 3 Source: Statistics Poland, June 2019 4 Source: AXI IMMO, July 2019
Macroeconomic overview3
Key Oice market igures H1 20194
Key indings
Asking rents
Population
750,000
Unemployment rate
792,000sq m
Stock
100,000sq m
New supply
36,000sq m
Under construction
36,000sq m
Gross take up
6.2%sq m
Vacancy rate
2.3%
Fitch rating
A-
Average gross monthly salary
PLN 5,169(EUR 1,202)
Number of students
120,000
Graduate per annum
21,200
EUR/sq m/month12.0 – 15.0
1234
5
Tricity (GDANSK, SOPOT, GDYNIA)
Tricity is the fourth-largest oice market in Poland, about to break 1 mln sq m of modern oice space within a year. Almost 100,000 sq m were added to the market in the last 18 months, including the region’s tallest building in the Olivia Business Centre scheme. Recent completions also include Heweliusza 18 located in a historical part of Gdansk and Centrum Sportowa C in Gdynia, with an entire new district of the City (within the conines of the former shipyard) to be developed in forthcoming years.
Take up in 2018 was at an average level over the previous 5 years at 85,000 sq m and H1 2019 saw limited activity at 38,000 sq m. Tricity enjoys the lowest vacancy level among major regional cities at 6.2%. Recent transactions included: Sii, Bayer, LPP, Nest Bank, Nordea Bank, Ricoh Polska, UTC Fire & Security.
Oice market commentary
Trójmiasto (Tricity), is located at Gulf of Gdansk in northern Poland and consists of three cities: a millennium-old Gdansk (the birthplace of Solidarity), Sopot (a popular summer resort town) and Gdynia (built from scratch just after World War I) and the main economic and cultural centre of northern Poland. Gdansk is a merchant, hanzeatic city with a rich history. The MSA exceeds 750,000 sq m, and is well-known for both shipbuilding and petrochemical industries. In recent years, high-tech sectors have played an important role in the region’s economy. Tricity has the highest percentage of satisied citizens in Poland and over 86% of them evaluate the quality of life in the Tricity as high1. The city is the 2nd most attractive destination for relocation in Poland2. In last two years (2017 and 2018) was awarded in CEE Shared Services and Outsourcing Award for the most dynamically developing city.
TricityGDANSK, SOPOT, GDYNIA
Huge human potential in region
1 Source: Statistics Poland, June 2019 (Metropolis area) 2 Source: AXI IMMO, July 2019
Excellent roads and public transportation infrastructure
Large academic centre with a well-developed network of research centres
Macroeconomic overview1
Key Oice market igures H1 20192
Key indings
Asking rents
Population
2.27 mln
Unemployment rate
527,000sq m
Stock
20,000sq m
New supply
250,000sq m
Under construction
31,000sq m
Gross take up
7.5%sq m
Vacancy rate
3.9%
Fitch rating
A-
Average gross monthly salary
PLN 5,408(EUR 1,258)
Number of students
108,000
Graduate per annum
29,400
EUR/sq m/month12.5 – 14.5
123
Katowice
Katowice is Poland’s ifth largest oice market. In 2018 over 50,000 sq m of new oice space were brought to the market (i.a.: .KTW I, Silesia Business Park IV, BPP Business Park). Another 50,000 sq m of oice space is expected to be ready in 2019 and another 200,000 sq m will be delivered on the market to the end of 2022.
Take up in 2017 and 2018 was at 30,000+ sq m p.a. level, while H1 2019 reached 30,000 sq m already. Vacancy is on decline since 2016, currently at 7.5%. Largest recent transactions include: Fujitsu Technology Solutions and Perform Media.
Oice market commentary
Katowice is a city in southern Poland, 100 km from Cracow. Throughout the eighteen century it grew from a small village into a large industrial area due to the discovery of rich coal reserves in the area. Intensive industrialization also brought industrial steelworks, mines and foundries. Now the modern industry creates automotive, logistic and business services branches. Katowice is leading city of the Upper Silesia metropolis constituted by 41 cities and towns, including such cities as: Gliwice, Sosnowiec, Zabrze, Bytom, Chorzów and many others. The region has well-developed road and public transportation infrastructure, there are 3 international airports in close and gives access to over 2.2 million people in the metropolis and to 5 million people in the Silesian Province.
Katowice
The largest urban centre in the North-West part of Poland, with convenient access to Berlin
1 Source: Statistics Poland, June 2019 2 Source: AXI IMMO, July 2019
Important R&D and innovation hub, with more than 200 R&D entities operation and numerous initiatives for start-ups
Dynamically developing BPO/SSC/IT sector with ca 85 centres and 17,000 employees
Macroeconomic overview1
Key Oice market igures H1 20192
Key indings
Asking rents
Population
536,600
Unemployment rate
555,000sq m
Stock
46,000sq m
New supply
44,000sq m
Under construction
19,500sq m
Gross take up
12.1%sq m
Vacancy rate
1.2%
Fitch rating
A-
Average gross monthly salary
PLN 5,597(EUR 1,301)
Number of students
112,000
Graduate per annum
29,000
EUR/sq m/month13.5 – 14.5
123
Poznan
Poznan’s supply of modern oice space has exceeded 550,000 sq m in H1 2019. Recent years were low in terms of supply, but 2019 may reach as much as 90,000 sq m. Recent completions include: Business Garden (2019), Pixel V and Pixel IV (2018), new developments include Nowy Rynek, Giant Oice and Zajezdnia (mixed use scheme).
The take up in 2017 and 2018 was around 75,000 sq m each and H1 2019 only at nearly 20,000 sq m. The limited number of new oice completions in last years pushed the vacancy rate down to a record low of 7.3% at the end of 2018, but recent completions have rapidly increased the vacancy level to as much as 12.1%. The largest recent transactions include: Santander Bank, Żabka, Carlsberg, Grant Thornton, GSK.
Oice market commentary
Poznan is the ifth-largest city in Poland, located in Central-West part of the country, and historical capital of Greater Poland. Its history spans to a time well before Poland was Christianised. Poznan’s cathedral is the oldest in Poland, and inal place of rest of Poland’s irst monarchs. The City has been a regional centre of trade since the middle ages, and is also an important cultural and educational centre in Poland. Adam Mickiewicz University is considered one of the top three Universities in Poland.
The city of Poznan is booming. Thanks to investors activity, Poznan has become a modern centre of services and advance production.
Poznan was ranked in TOP 3 Business-friendly city according to fDi Intelligence by Financial Times – European Cities and Regions of the Future 2018/19 ranking.
Poznan
Over 50% of modern oice space is occupied by Business Services Sector
1 Source: Statistics Poland, June 2019 2 Source: AXI IMMO, July 2019
Competitive rental rates compared to other regional cities; oice space concentrated in the city centre
Biggest revitalization project – New Centre of Lodz with the most modern underground railway station in Europe - Lodz Fabryczna
Macroeconomic overview1
Key Oice market igures H1 20192
Key indings
Asking rents
Population685,000
Unemployment rate
497,000 sq m
Stock
40,000sq m
New supply
100,000sq m
Under construction
33,000sq m
Gross take up
12.1%sq m
Vacancy rate
5.2%
Fitch ratingBBB+
Average gross monthly salary
PLN 4,628(EUR 1,076)
Number of students78,200
Graduate per annum
20,600
EUR/sq m/month11.5 – 14.5
123
Lodz
Łódź has been recently gaining very strong interest from oice developers in the last years. It is at the edge of breaking the 500,000 sq m level, with a further 100,000 sq m currently under construction. Recent completions are irst phase of Brama Miasta, Ogrodowa Oice Centre, and Imagine, Monopolis, Hi Piotrowska
Take up in 2017 and 2018 was reasonably stable at 55,000 sq m, slightly above last 5-years average. Although demand in last years pushed the vacancy level down to 8.7%, delivering just one project increased it to more than 12% at the end of H1 2019. Recent transactions included: Orange, GFT Poland, Accenture, Clariant, Deloitte, ING Bank Polska, NewWork (coworking), PKO Bank Polski.
Oice market commentary
Lodz is the third-largest city in Poland, located in central part of the country, surrounded by a network of motorways and expressways which provide the city with excellent connections to other Polish and European locations.
It is conveniently connected with Warsaw (1,5 hour travel by car or by train), only 120 km away. Its’ history as a city reaches as far as the 15th century, but only started growing in the 20th century after Poland gained independence in 1918 due largely to rapid growth of the textile industry. It is internationally known for its National Film School, with alumni including word famous Directors Andrzej Wajda and Roman Polański.
Lodz offers a large group of graduates educated in the ields searched for by employers as well as competitive personnel costs compared to other locations in Poland. The city is a major educational and scientiic centre, strongly cooperating with more than 20 higher education institutions, both public and private ones.
Lodz
Wroclaw
CracowKatowice
Lodz
Poznan
Tricity
Warsaw
Oice market in Poland - H1 2019¹
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
5,500,000
80,500
731,000
8.5%
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
Cracow
1,340,000
90,000
190,000
10%
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
Wroclaw
1,070,000
90,000
210,000
9.3%
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
Katowice
527,000
20,000
250,000
7.5%
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
Poznan
555,000
46,000
44,000
12.1%
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
Tricity
792,000
100,000
36,000
6.2%
Stocksq m
sq m
sq m
New supply
Under construction
Vacancy rate
Lodz
497,000
40,000
100,000
12.1%
1 Source: AXI IMMO, July 2019
“Polish cities – oice destinations” is a brief summary of the oice market in key Polish cities, providing macroeconomic and commercial real estate data.
Warsaw
Open to change
10 years on commercial real
estate market
+ 48 22 111 00 01 [email protected] www.axiimmo.comAxi Immo Group Sp. z o.o. 18 Twarda Street, 00-105 Warsaw