Developers returning to the market of commercial properties

2010-07-26

Developers are slowly returning to commercial construction projects. The total floor area of Poland's shopping centres is expected to exceed 10 million m² by the end of this year, as demonstrated by the data compiled by DTZ.
In H1 2010, 247,000 m² of modern retail space was completed. This figure comprises 11 new projects and eight extensions of the existing shopping malls. Although the market has recently picked up a little, the number of projects is still 42% lower compared to H1 2009. However, DTZ analysts estimate that in connection with greater tenant activity, we can expect a larger number of projects run by property developers. According to forecasts, around 500,000 m² of commercial space in new and extended shopping centres will be delivered to the market in 2010, while the respective figure for 2009 was 720,000 m². DTZ specialists also claim that 2011 will be even worse than the current year in terms of commercial space completions, and improvement can be expected only in 2012 when around 735,000 m² of commercial space can be delivered to the market.

Find more news and analyses in internet service Construction Poland Online and pdf newsletter Polish Construction Review.