Slovak Housing Market Among Europe’s Least Affordable, Deloitte Report Finds

The Slovak housing market has become one of the most challenging in Europe for households seeking to buy their own homes. According to Deloitte’s Property Index 2025, Bratislava, Košice and Banská Bystrica all rank among the seven least affordable regional cities in Europe when comparing property prices to average wages.

The study highlights that affordability is not driven by absolute housing prices—which remain lower than in countries such as Austria or Germany—but by the gap between household incomes and rising property values. On average, Slovaks must commit more than 14 gross annual salaries to purchase a 70 m² apartment, placing the country in line with the least affordable European markets【deloitte.com†source】.

Recent data from the National Bank of Slovakia shows that the average residential price reached €3,113 per square metre in mid-2025, with Bratislava exceeding €3,900 per square metre in some segments. While these levels remain below Austria (approx. €4,900 per sq m) or the Czech Republic (approx. €4,500 per sq m), lower Slovak wages make ownership comparatively harder to achieve. The average gross monthly salary in Slovakia stood at around €1,654 in 2025, compared to €2,027 in Czechia and €2,093 in Poland.

“The problem of Slovakia is not just the price per square metre, but purchasing power. Household incomes have not kept pace with property growth, and that creates the perception of extreme inaccessibility,” commented Richard Churý, CEO of a major Slovak brokerage network, in a local real estate review.

The affordability gap particularly affects young households, single-income families and divorced individuals, many of whom are forced to remain in rental housing. Analysts note that while mortgage lending has picked up again due to falling interest rates, demand is increasingly concentrated in Bratislava and regional centres, where limited supply continues to put upward pressure on prices.

A report from the Real Estate Union of the Slovak Republic underscores the “two-speed” nature of the market. Prices in Bratislava and Košice remain buoyant, while smaller towns face stagnation due to negative demographic trends and outmigration.

Looking ahead, forecasts suggest that lower interest rates will stimulate further demand in 2026. However, supply constraints in new residential development, particularly in Bratislava, are expected to keep prices elevated. Deloitte notes that in Prague, where supply has also tightened, prime residential affordability is deteriorating in a similar way—suggesting a wider Central European trend.

Despite some regional differences, the consensus among professional observers is that Slovakia’s affordability crisis is less about housing being “more expensive than London or Milan” in absolute terms, and more about the disproportion between wages and house prices. As Vladimír Kubrický, analyst at the Real Estate Union, observed: “What we are seeing is a structural imbalance. Even when prices are lower than in Western Europe, Slovak households face greater difficulty in financing their own homes because their earnings are far behind.”

Redstone Expands Portfolio with Acquisition of Olympia Olomouc

fletcher@cijeurope.com
30 September 2025
Retail

Redstone, the development group led by entrepreneur Richard Morávek, has expanded its footprint in Olomouc by acquiring the Olympia Olomouc shopping centre. The seller was CCPEPF Poland Intermediate, part of the Catalyst Capital Group. The purchase price has not been disclosed.

Olympia Olomouc first opened in 2004 and was for years one of the region’s leading retail destinations. The centre today comprises more than 31,000 square metres of leasable space, over 50 retail, dining and service outlets, and 1,384 parking spaces. Anchor tenants include H&M, C&A, DATART and the Cinemax multiplex.

Over time, Olympia’s position in the local market has been challenged, particularly after the 2013 opening of Galerie Šantovka – also owned by Redstone – in the city centre. Šantovka has a retail area of around 48,000 square metres with approximately 200 units, as well as leisure facilities including a multi-cinema and bowling arena, making it the larger of the two properties.

Local media note that while Olympia was once the dominant shopping destination in the region, its peripheral location and smaller tenant mix compared to Šantovka weakened its position. Nevertheless, the centre remains a recognised retail hub in Olomouc, and Redstone has indicated plans to enhance its tenant offering and services to revitalise the asset.

“We are pleased to be expanding our portfolio in Olomouc with Olympia,” Richard Morávek commented. “The centre has a strong history and potential to complement Šantovka as part of a wider retail and leisure ecosystem in the city.”

Redstone’s acquisition is seen as part of a longer-term strategy to consolidate and strengthen its position in the Olomouc retail market. With both Olympia and Šantovka under its control, the group will have significant influence on the city’s shopping and leisure landscape.

From University to Career: Which Degrees Open the Door to Higher Salaries?

fletcher@cijeurope.com
30 September 2025
Jobs

As a new academic year begins, thousands of students across Poland are starting their university studies with hopes that the choices they make now will shape their future careers. In a labour market undergoing rapid change, the field of study remains one of the strongest predictors of starting salaries. Data from the Central Statistical Office (GUS) and the nationwide Graduate Tracking System (ELA) show that while the average gross monthly wage in the enterprise sector stood at PLN 8,769.08 in August 2025, graduates of certain programmes can earn well above this benchmark.

IT leads the way

Information technology remains the most reliable path to higher-than-average wages. According to the ELA database, computer science graduates from leading universities such as the Warsaw University of Technology and the University of Warsaw consistently report salaries above the national average. Independent labour market surveys confirm the trend: entry-level IT professionals often start between PLN 8,000 and PLN 12,000 gross, while experienced specialists, particularly in fields such as cybersecurity, data science, or software engineering, can earn PLN 15,000–29,000 gross depending on the role and region.

Engineering and technical sciences

Strong technical backgrounds are also valued. Graduates of mining, geology, and computational engineering fields from institutions such as the Silesian University of Technology, AGH University of Science and Technology, and the University of Warsaw rank among those with solid salary prospects. Engineering roles tied to energy, natural resources, and geoinformatics continue to attract employers looking for highly specialised skillsets.

Healthcare and medical fields

The health sector remains one of the most stable and attractive areas for graduates. While not all positions immediately exceed the national average, nursing, obstetrics, and specialist medical fields often see graduates moving quickly into well-paid and secure roles. Demand for healthcare professionals across Poland and the wider EU ensures that salaries remain competitive.

Analytics, finance, and business

Another fast-growing category is business and data analytics. Degrees in areas such as data science, business analytics, and financial engineering at institutions including the University of Warsaw and the Warsaw School of Economics have become pathways into jobs that regularly exceed the enterprise-sector average. Business qualifications also stand out: executive MBA programmes at Polish economic universities are associated with some of the highest graduate salaries reported in the ELA system, often more than double the national average.

More than just a diploma

Labour market experts emphasise that while the choice of degree matters, so does the ability to adapt. “Dynamic technological progress forces employees to continuously upgrade their skills. Flexibility, openness to mobility, and international experience are often as important as the diploma itself,” notes Krzysztof Inglot, founder of Personnel Service, in his recent commentary on graduate outcomes.

The message to students is clear: certain fields, especially in IT, engineering, medicine, and analytics, offer the strongest salary prospects today. But long-term success depends on combining formal education with adaptability and ongoing skill development in a labour market that is changing faster than ever.

Source: Personal Service

Polish Loan Market in August 2025 Shows Mixed Trends

The Polish lending market showed a split picture in August 2025, with demand for housing and cash loans rising sharply while installment lending continued to decline.

According to new data, banks and credit unions issued nearly 30 percent more mortgages than in the same month of 2024, with the overall value of housing loans climbing by around 40 percent. Cash loans also grew strongly, both in the number granted and in their total value, with the average amount per loan exceeding 25,000 złoty. Analysts note that higher real wages and lower borrowing costs compared with last year are boosting households’ ability to borrow larger sums.

Installment credit, by contrast, remains under pressure. The number and value of these loans fell in August compared with a year earlier, extending a decline that has been visible throughout 2025. Market specialists attribute this weakness to reduced volumes of smaller-ticket financing, though loans linked to more expensive goods and services remain steadier.

Credit cards also saw modest declines in issuance, though the total value of card limits edged higher.

Mortgage activity stood out as the strongest segment. Demand for new housing loans in August was more than 50 percent higher than a year ago, with the average mortgage amount reaching roughly 457,000 złoty. Commentators highlight that part of this increase reflects a low base from late 2024, when high interest rates curbed affordability and limited loan approvals.

While lending volumes are rising in some areas, credit quality indicators remain broadly stable. Experts describe the risk environment as safe for the moment, though they caution that uncertainty in the global outlook and ongoing legal challenges in the banking sector could weigh on sentiment.

Polish Households Gain Slightly as Companies Feel Pressure in Q2 2025

Poland’s economy delivered mixed signals in the second quarter of 2025, with household incomes showing a modest improvement while corporate profitability came under strain.

Data from the national statistics office show that households saw a slight increase in real earnings compared with the previous quarter. This was enough to support stronger spending, with per-person consumption rising more quickly. Families also put aside more money than in the first quarter, though their savings rate remains lower than a year ago. Average monthly pay continued to climb in real terms, underpinned by steady wage growth, helping to boost purchasing power.

On the business side, non-financial companies faced a squeeze. Profitability slipped compared with both the start of the year and the same period in 2024. Rising labour costs were the main driver, increasing at a pace well above inflation. Despite this, investment activity was broadly steady on a quarterly basis, although lower than a year earlier.

At the macroeconomic level, gross domestic product expanded by half a percent over the previous quarter and by 2.6 percent year-on-year. This matches other indicators pointing to moderate but continuing growth through the first half of the year.

Consumer prices in September rose at an annual rate of 2.9 percent, close to the central bank’s target. Food remained one of the strongest upward pressures, though forecasts of larger harvests in 2025 may ease price growth in the coming months.

The overall picture is one of resilience on the household side, where higher wages and steady employment are keeping consumption afloat, set against tighter margins in the corporate sector. With inflation cooling and output growth holding steady, the second half of the year will hinge on whether businesses can adjust to rising costs without cutting back investment.

Source: GUS

Deka Immobilien Leases Office Space in Tower 185 in Frankfurt am Main to BNY

fletcher@cijeurope.com
30 September 2025
Office

Deka Immobilien has signed a long-term lease with BNY for office space in Tower 185 in Frankfurt am Main. The agreement covers 3,725 square metres across three interconnected floors of the building, along with 20 parking spaces. BNY plans to relocate its 250 employees in Germany to the site in August 2026.

Tower 185, located at Friedrich-Ebert-Anlage 35–37, was completed in 2012 and acquired by Deka Immobilien in 2018. With more than 100,000 square metres of leasable area, it is the largest office building in Frankfurt and one of the city’s most prominent towers at 200 metres high. Positioned between the exhibition centre, main railway station and the banking and European quarter, it accommodates a broad tenant base in sectors including finance, consulting, law and recruitment. Current occupiers include PwC Germany and HKP.

The property holds both LEED Gold certification and the DGNB Gold seal, recognising its sustainable design and operational standards.

Vastint Romania Expands Flexible Office Strategy and Deepens Tenant-Centric Vision

Vastint Romania is reinforcing its position in Bucharest’s office market by integrating flexible office concepts into its landmark Business Garden development. In an interview with CIJ EUROPE, Antoniu Panait, General Manager of Vastint Romania, outlined how partnerships, sustainability, and tenant-focused amenities are shaping the company’s long-term strategy.

This summer Vastint partnered with IWG to introduce 1,900 square metres of flexible workspace within Business Garden. Panait described this as a “win-win” approach: tenants can begin with short-term solutions and expand into larger, long-term leases within the same project as their needs evolve. Vastint has also developed an additional 2,000 sqm of “ready flex” space, already nearly fully leased. “It’s an incubator concept—small tenants can start with a few desks and later grow into larger spaces we provide. It creates a pipeline for our long-term occupancy,” Panait explained.

Business Garden’s appeal extends beyond workspace flexibility. Vastint has added a range of amenities, from coffee roasteries and event spaces with a dedicated stage to an IKEA plan-and-order shop and access to nearby wellness facilities. Panait stressed that creating a vibrant environment supports productivity, tenant satisfaction, and ultimately asset performance. “Companies are realizing the impact of workplace quality on employee performance. A two or three euro rent difference per square meter is negligible compared to the gains in productivity and retention — especially when weighing a CBD office against a secondary or back-office location,” he said.

On sustainability, Vastint has already delivered LEED Platinum-certified buildings with one of the highest scores in Romania—98 points. Looking ahead, the company aims to exceed 100 points at its Timpuri Noi project by eliminating gas burners entirely and expanding renewable energy use through solar panels and heat pumps. “We started with no compromise on quality, and when we saw how close we were to the highest certifications, we decided to push further,” Panait said. He added that AI tools for analysing building data may play a role in the future, further reducing energy use and carbon emissions.

Vastint is also adapting to hybrid work preferences. With more than three decades of European development experience, the company designs buildings with flexible floor plates, modern building management systems, and security solutions tailored to tenants ranging from banks to tech companies. “Our projects are built to allow any fit-out easily, from open space to specialised layouts,” Panait noted.

Looking ahead, Vastint, with six Business Garden projects already established across Europe, intends to further replicate this successful model, building a consistent brand that multinational tenants can rely on.. “Multinationals want the same quality and standards across their offices, wherever they go,” Panait said. While new sites outside Romania are under consideration, the company remains focused on completing the next phases at Timpuri Noi, which include a significant residential component and expanded amenities such as a swimming pool.

“Our philosophy is to build projects that stand for generations,” Panait concluded. “These buildings are designed to remain adaptable for decades, whether as offices, residential or even hotels in the future. That’s the legacy we want to leave: generous three-meter clear heights and an interior structure that allows future conversions without demolition.”

Catella Reports Share Conversion in September

Catella AB has reported a further adjustment to its share structure following a conversion of Class A to Class B shares in September 2025.

A total of 1,212 Class A shares were converted into the same number of Class B shares, leaving the overall number of shares in the company unchanged at 88.35 million. After the transaction, Catella has 2.34 million Class A shares in issue and just over 86 million Class B shares.

Because Class A shares carry a higher number of votes than Class B shares, the conversion reduces the overall voting rights in the company. Following this change, Catella’s total voting power now stands at about 97.7 million.

The company’s articles of association give holders of Class A shares the option to convert them into Class B shares during defined periods each year. Such moves do not affect the size of the company’s share capital but alter the balance of voting rights between the two classes.

Conversions of this type have taken place on several occasions in recent years. Earlier examples include 55,000 shares converted in January 2024 and 25,500 in March 2023, reflecting an ongoing gradual shift from the higher-voting Class A stock to the more widely held Class B.

Czech Household Income Edges Up, Corporate Profits Dip in Q2 2025

In the second quarter of 2025, Czech households recorded only a slight improvement in their finances, while companies saw a small decline in profitability, according to the latest sector accounts released by the Czech Statistical Office (CZSO).

Seasonally adjusted data show that household income, including both monetary and non-monetary components, rose by just 0.1 percent compared with the previous quarter. Consumption per person increased more strongly, by 0.8 percent. The saving rate also ticked higher, with households setting aside 18.4 percent of their income, a rise of 0.6 percentage point compared with the previous quarter but still two percentage points lower than a year earlier. Real wage income from employment grew by 4.1 percent compared with the same period in 2024, and average monthly pay reached CZK 52,560, representing a 1.4 percent increase over the first quarter and a 4.1 percent gain year-on-year. Household investment slipped slightly to 10.3 percent of income.

Non-financial corporations faced rising costs and weaker profitability. The profit share fell to 43.6 percent, down 0.1 percentage point on the previous quarter and 1.5 percentage points compared with the same quarter last year. Labour costs rose by more than eight percent year-on-year, while the corporate investment rate remained steady at 26.3 percent, though this represented a decline compared with mid-2024.

At the same time, the CZSO refined its estimate of national output. Gross domestic product expanded by 0.5 percent quarter-on-quarter and by 2.6 percent compared with the second quarter of 2024.

Some discrepancies between the press release and data published on the CZSO’s official portal are worth noting. The quarterly sector accounts published on the statistical office’s website suggest household income increased by 0.3 percent rather than 0.1 percent, and that the saving rate fell by 1.5 percentage points rather than rising. Eurostat data on non-financial corporations also indicate that the scale of change in profit shares in the Czech Republic diverges somewhat from broader EU trends, where quarterly movements tend to be smaller.

Despite these inconsistencies, the overall picture remains clear: household incomes in the Czech Republic are growing only slowly, corporate margins are under pressure from rising costs, and GDP growth is steady but moderate.

Source: CZSO

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