Property investment market in Poland Q3 2025 report
Author: Paulina Brzeszkiewicz-Kuczyńska, Research and Data Manager at Avison Young
On a solid ground
Investment market – power of stability
Investment market results in Poland for Q1-Q3 2025 reflect stable market condition, with year-to-date volume aligning closely with the Q1-Q3 2024 results. By the end of September, the Polish investment market reached a total volume of €2.6 billion within 105 transactions, indicating increased liquidity. Polish capital continues to gain momentum, capitalizing on attractive pricing opportunities. In contrast, core capital remains cautious, with only two transactions exceeding the €100 million mark.
The office and industrial sectors dominated market activity in terms of volume. Office transactions were notably characterized by over 50% participation from Polish investors, reflecting growing domestic confidence. While the warehouse sector experienced lower liquidity, it recorded several landmark transactions, underscoring its strategic importance. Retail investments remained resilient, with a focus on retail parks and several redevelopment projects. In the residential and student housing segments, a few secondary market deals have already closed, while the market anticipates the record-breaking acquisition of 18 Resi4Rent assets by Vantage Development.
Backed by a strong economic foundation and overall market stability, the Polish investment market maintains a steady pace. The sector now awaits the return of core capital and large portfolio transactions, which are expected to further stimulate activity in the coming quarters.
Highlights:
Office market – drawing Polish investors
Office sector in Q1-Q3 2025 period showed up as a market leader, both in terms of transacted volume and number of deals. The largest transaction, and the only one exceeding €100 million mark in office sector, was the final acquisition of 50% stake of Mennica Legacy Tower by Mennica Polska. Further major transactions regarded prime office buildings in Warsaw, namely Vibe, Plac Zamkowy – Business with Heritage and Wronia 31, and High 5ive I & II in Kraków.
With average transaction volume slightly exceeding €25 million, the market is dominated by value-add and opportunistic transactions, still awaiting the core capital to return. Though, the domestic capital is increasingly active, with over 50% share of transacted volume and closed deals. Above include several owner-occupier acquisitions, including public sector buyers.
Sector highlights:
“Core capital remains relatively subdued across markets, as investors pursuing such strategies continue to refrain from taking on risks amid ongoing economic and geopolitical uncertainties. Consequently, the market recorded only five core office transactions in Q1-Q3 2025. However, we remain optimistic about the near future, expecting to see a few deals taking place in Warsaw and regional cities in next months.
In contrast, value-add and opportunistic investors are displaying higher levels of activity, selectively seeking opportunities while maintaining pricing discipline. Such products attract Polish capital, which at the end of Q3 2025 represented over 50% of office volume as well as number of closed deals.” – comments Marcin Purgal, Senior Director, Investment at Avison Young
Industrial market – low deal count, high transaction value
Condition of industrial market in the Q1-Q3 2025 keeps stable, with results comparable to previous year. With €873 million transacted, warehouse products provided one-third of the total investment volume in the analysed period. Persistent moderate liquidity is related to the still limited number of portfolio transactions (only 3 recorded year-to-date) and ongoing process of finding a golden mean between sellers and buyers.
With the majority of investment volume transacted outside Poland’s
major markets, 17% of total volume were recorded in emerging regions such as Bydgoszcz and Rzeszów, while 16% took place in
smaller centres, including the Olsztyn and Opole regions. Sale and leaseback transactions, covering industrial schemes located both within the Big Five markets and in minor hubs, accounted for over 40% of the sector’s total investment volume.
Sector highlights:
“Sale and leaseback transactions accounted for 44% of the total industrial investment volume so far this year, driven primarily by the landmark transaction of two Eko-Okna properties to Realty Income. This transaction represents not only the largest sale and leaseback deal ever completed in the CEE region but also the biggest transaction recorded in the first three quarters of 2025 in Poland.
From an investor’s perspective, a sale and leaseback structure offers a stable, long-term income stream backed by a reliable tenant. It supports portfolio diversification and provides the benefits of real estate ownership without direct exposure to the tenant’s operational risks. However, investors must be mindful of potential challenges such as tenant default, re-leasing risk, property condition issues, and environmental liabilities. Accordingly, thorough due diligence is critical to ensuring the investment remains both secure and profitable.” – comments Bartłomiej Krzyżak, Senior Director, Investment at Avison Young.
Retail market – expanding retail parks portfolios
The retail sector registered a total investment volume of €453 million during the first three quarters of 2025. Retail parks, convenience schemes as well as stand-alone grocery stores continue to be highly sought-after assets, accounting for 2/3 of all transactions and 56% of the total transacted volume. Redevelopment transactions represented 20% of the volume, primarily involving shopping centres and stand-alone retail warehouses earmarked for residential conversion.
Regional shopping centres emerged as the third most attractive retail asset class, with 6 centres divested across 4 transactions. The diversity of investment opportunities in the Polish retail market supports stable liquidity; however, the absence of prime shopping centre deals has kept overall volume at a moderate level. Avison Young professionals brokered 4 of the 10 largest retail transactions completed so far this year, including all retail formats.
Sector highlights:
“In recent years, Poland has become an attractive entry point for new investors looking to expand into Central and Eastern Europe. The standout retail transaction of Q1-Q3 2025 period was the acquisition of a 10-asset A Centrum convenience portfolio by Czech-based investor My Park. One of the strongest draws has been the retail park segment, which continues to perform well thanks to convenience-oriented shopping trend and a resilient tenant mix dominated by discount and necessity-driven retailers.
First-time investors entering the Polish market often see retail parks as a relatively safe gateway asset class: they offer lower entry costs compared to prime shopping centres, provide consistent rental income, and are typically located in growing regional cities where consumer demand remains solid. This combination of accessibility, stability, and growth potential has made retail parks a key target for debut players seeking to establish their presence in Poland’s commercial real estate landscape.” – comments Artur Czuba, Director, Investment at Avison Young.
PRS market – living sector milestone on the horizon
Poland’s residential investment market recorded a total volume of €223 million in the Q1-Q3 2025 period, with €150 million
allocated to three PRS (Private Rented Sector) projects in Warsaw. AFI Europe completed 2 of these transactions, while Xior Student Housing acquired 1 asset from Syrena RE. The remaining transactions were executed by NREP and involved 3 co-living
assets in Gdańsk, for which Avison Young’s technical advisory team provided comprehensive support, including project
monitoring and construction supervision.
Notably, an unprecedented PRS transaction is currently underway – Vantage Development has announced the acquisition of 18
Resi4Rent PRS assets. The strong potential of Poland’s residential market has attracted growing attention from both domestic and
international investors, including PHN, Ronson Development, and Skanska, all of whom have expressed interest in this rapidly
expanding segment.
“PRS investment market in Poland, due to its initial phase, has been so far dominated by the primary market transactions when buildings are acquired directly from the developers.
Secondary market transactions appeared in 2022, beginning the next phase of the PRS market in Poland. Catella sold its three operating assets in Warsaw and Kraków, simultaneously withdrawing from the Polish real estate market.
Now a sector milestone deal is about to be completed, with Vantage Development acquisition of 18 Resi4Rent assets, translating to over 20% of currently operating PRS units in the country.” – Patryk Błach, Senior Consultant, Investment at Avison Young.
What’s next?
Poland remains attractive to investors due to strong economic growth and solid market foundations. Being among G20, Poland attracted significant interest during EXPO, increasingly from US investors.
We anticipate the trend of interest rates reductions to continue, accompanied by a relaxation of lending policies by banks and increased interest in real estate funds. Now is the final time to take advantage of attractive property prices – with interest rate cuts on the horizon, yields are expected to decline, making today’s conditions particularly favourable for buyers.
Continued activity from mid-cap investors is anticipated across all commercial real estate asset classes. Following economic stabilisation, core capital – currently only moderately active – is expected to return to the market, driving large-scale, prime transactions once again. Smaller real estate formats with long WAULTs are likely to remain attractive investment products.
The increased activity of domestic capital is expected to continue.
