lh x cw market report A4_23.03.02 v34 interactive72

After an active first half, activity slowed in the second half of 2022

Total investment in the Central and Eastern European markets reached €10.7 billion in 2022, an increase of 6.6% compared to 2021, despite the significant challenges in the post-Covid period. Uncertainty over inflation, increased energy costs, supply chain disruptions and the Russian invasion of Ukraine are just some of the challenges facing investors. The most important of these, however, is an entirely new interest rate environment that changed investor attitudes in the second half of the year, reflected in investment volumes, with transaction activity slowing. Office investment activity continued to dominate the region with a 42% share, followed by retail (26%) and industrial logistics (25%). In retail, four major portfolios changed hands, while logistics remains in high demand, but product shortages are holding back activity. Central and Eastern European domestic capital was the most active, accounting for 35% of total volume. Czech, Hungarian, and Slovakian capital continued to be buoyant in cross-border transactions and there was also significant activity from South African capital.

COUNTRY’S SHARE FROM 2022 TOTAL INVESTMENT VOLUME Source: Cushman & Wakefield Research

Hungary

Slovakia

Romania

Czech Republic

Poland

0%

15%

30%

45%

60%

Capital Markets

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