Warehouse and Industrial Market in Poland
Summary Q1 2017
A perfect beggining of year
- Total supply of modern warehouse space in Poland stood at 11.53 million sq m at the end of March 2017.
- Warsaw (Zone I and II) remains the largest warehouse hub in the country, however its share in total stock decreased from 50% in 2017 to 28% in Q1 2017. Other popular regions are Upper Silesia, Poznań, Wrocław and Central Poland.
- New supply during Q1 2017 reached 590,000 sq m which was 26% higher when compared year-on-year.
- Development activity remains high with ca. 1.3 million sq m of warehouse space under construction across the country, of which 80% has been already commited to.
- Demand for warehouse space exceeded 1 million sq m, which is 30% of 2016 full year’s volume of take-up. Gross take-up over the last 12 months stands at a record level of 3.7 million sq m.
- Vacancy rate stood at 6.4%. The highest reate was recorded in Kraków (13%) and Szczecin (9%), whereas the lowest in Central Poland (2.3%).
- Traditionally the highest rents are recorded in Warsaw Zone I (EUR 4.10 – 5.25 per sq m/month) and in other locations they vary between EUR 2.80 and 3.50 per sq m/month (up to EUR 4.00 per sq m/month within cities’ admnistrative borders).
- Effective rents are ca. 10% lower than headline retns.