Manufacturing gains ground in Romania’s industrial market as nearshoring interest grows

Manufacturing is taking a larger share of Romania’s industrial and logistics property market, with production-related transactions accounting for approximately 28% of publicly announced leasing activity during the first half of 2026, according to Colliers. The proportion was almost twice that recorded a year earlier and substantially above the 10–15% range typically associated with manufacturing demand.

Overall publicly disclosed industrial and logistics transactions reached approximately 340,000 sqm during the first six months of the year. This represented a decline of around 20% compared with the same period of 2025, although activity remained 47% above the average recorded during the first halves of 2017–2019. Around two-thirds of demand involved new leases or companies relocating from less competitive properties.

Rather than signalling a broad deterioration in the market, Colliers views the slowdown as a normalisation following the particularly active conditions recorded in 2025. The consultant also notes that its figures cover publicly disclosed transactions and therefore exclude a portion of direct agreements and renewals concluded between occupiers and property owners.

A more significant development is the changing composition of occupier demand. Romania is attracting increasing attention from manufacturing companies considering locations closer to European customers, including Asian groups assessing the country as a potential production base.

“We are seeing recurring requirements that were simply not present a few years ago, as well as growing interest from Asian manufacturers, particularly Chinese companies, which are assessing Romania as a nearshoring base for the European market,” said Victor Coșconel, Partner and Head of Leasing, Office & Industrial Agencies at Colliers. He added that manufacturing companies can be particularly important for industrial property owners because they generally occupy facilities for longer periods.

Several transactions during the first half illustrate the broader mix of activity. Iron Mountain renewed approximately 28,000 sqm in Bucharest, while Autonet renewed around 26,000 sqm. Siemens agreed a new 15,000 sqm lease for a manufacturing facility in Sibiu, while two additional production facilities exceeding 20,000 sqm were agreed near Bucharest and in Ploiești.

Romania’s competitiveness is also being supported by the relationship between employment costs and productivity. Colliers estimates that each euro of labour expenditure in transportation and storage generates approximately €2.70 of added value in Romania, compared with around €1.70 across the European Union. The consultant also points to relatively favourable labour availability compared with several neighbouring markets.

Transport infrastructure is becoming another factor influencing industrial location decisions. Romania had more than 1,400 km of high-speed roads at the beginning of 2026, compared with approximately 900 km before the pandemic, while more than 1,000 km were at various stages of construction. Colliers estimates that the network could exceed 2,500 km during the next five to seven years.

Around Bucharest, the development of the A0 orbital motorway is increasing the accessibility of locations that previously played a more limited role in the industrial market, including areas north of the capital around Buftea and locations to the east and south. Together with Romania’s full accession to the land-based Schengen area in 2025, the expanding road network could improve connections between regional manufacturing centres and Western European markets.

Romania’s stock of modern industrial and logistics property reached almost 8.3 million sqm by the middle of 2026, having recently passed the 8 million sqm threshold. Most recent completions were concentrated around Bucharest, while approximately another 500,000 sqm could be delivered over the following two to three quarters.

Competition between developers is also increasing. CTP and WDP remain the largest operators identified by Colliers, while VGP, Element Industrial, Logicor and Industra Parks are expanding their pipelines. Lion’s Head, Garbe Industrial/Fortress and Hillwood are meanwhile preparing their first developments in the Romanian market.

Greater competition for occupiers is helping to limit rental increases. For a well-located warehouse of around 5,000 sqm in the Bucharest area with a five- to seven-year lease, rents generally stand at approximately €4.50–€5.00 per sqm per month. Depending on the location and individual transaction, levels can approach €4.00 or fall below that point.

Vacancy remains below 10% across most of Romania, however, meaning large occupiers may not always be able to secure suitable existing premises immediately. At the same time, developers control sites capable of accommodating additional projects, providing capacity for further expansion if demand strengthens.

For the remainder of 2026, Colliers expects leasing volumes to remain below the unusually high levels of recent years but above the historical market activity seen before the pandemic. In the longer term, the consultant sees infrastructure investment, competitive operating costs, productivity and improved European connectivity as supporting further expansion of Romania’s industrial property sector.

Colliers considers Romania capable of eventually supporting between 12 million and 14 million sqm of modern industrial and logistics stock, compared with approximately 8.3 million sqm today, although the release does not provide a specific timetable for reaching that level.

Komplex Torus leases 6,800 sqm at MLP Pruszków II near Warsaw

Komplex Torus has leased nearly 6,800 sqm at MLP Pruszków II, expanding the tenant base of MLP Group’s largest logistics park near Warsaw. Newmark Polska represented the distributor in the transaction.

Around 6,500 sqm of the leased area will be used for warehouse operations, with the remaining space allocated to offices and employee facilities supporting the company’s logistics activities. The completed premises are scheduled to be handed over in the fourth quarter of 2026.

Komplex Torus has operated for more than 30 years as a distributor of household chemicals, cosmetics and hygiene products. The company serves more than 2,500 customers each month and maintains a regular wholesale portfolio comprising more than 10,000 products.

The new warehouse will support the company’s distribution activities and further expansion. According to Newmark Polska, proximity to the A2 motorway, employee accessibility and the ability to accommodate the tenant’s operational requirements were among the main considerations behind the location decision.

“We are pleased to have supported Komplex Torus in this transaction. Our client chose MLP Pruszków II primarily because of its proximity to the A2 motorway, convenient access for employees and an offer well suited to its business needs,” said Patryk Podgórski, Senior Advisor at Newmark Polska.

MLP Pruszków II is located in the Brwinów municipality, approximately 5 km from Pruszków and within the Warsaw metropolitan area. The logistics and industrial complex is planned to provide around 427,000 sqm of warehouse, production and office accommodation when fully developed.

The park is situated between provincial road No. 760 and the A2 motorway, around 3 km from the Pruszków-Żbików junction. Its road connections provide access towards Warsaw and Poland’s principal east-west transport corridor, while nearby railway infrastructure supports regional and international logistics operations.

MLP Group is also incorporating energy and environmental measures across the development. Selected buildings have obtained BREEAM certification, while photovoltaic installations are being introduced on warehouse roofs.

Employee access to the park is supported by bus connections and a bicycle-sharing station.

The Komplex Torus agreement adds another distribution occupier to MLP Pruszków II and reflects continued demand for warehouse capacity around the western side of the Warsaw metropolitan area, where access to the A2 motorway and the capital’s consumer market supports logistics and distribution operations.

Redkom Development expands industrial business with appointment of Fabian Kowalewski

Redkom Development is strengthening its warehouse and logistics operations with the appointment of Fabian Kowalewski as Leasing & Development Director / Industrial Market. He will be responsible for expanding the company’s industrial portfolio, securing new projects and clients, leasing and developing relationships with occupiers and business partners.

While retail parks remain Redkom Development’s main area of activity, the company has been building its presence in the industrial and logistics sector over the past several years. Its strategy focuses particularly on build-to-suit developments, smaller warehouse and logistics properties and cross-dock facilities designed around individual occupier requirements

Redkom has already completed a cross-dock facility of approximately 2,300 sqm for FedEx in Olsztyn, while similar facilities are being developed in Szczecin and Szczawno-Zdrój. Near Opole, in Chrząstowice, the developer is also delivering a 14,300 sqm BTS property for SFD.

The company plans to increase the scale of this activity alongside its established retail park development business, concentrating on projects where buildings need to be adapted closely to occupiers’ operational requirements.

“Retail parks are and will remain the DNA of Redkom Development. This is our core business and a segment in which we intend to remain very active. At the same time, industrial and logistics is not a new direction for us. We have been developing our capabilities and delivering our first projects in this sector for several years,” said Kowalewski.

He added that Redkom sees opportunities particularly in smaller, purpose-designed warehouse and logistics facilities, including cross-dock properties, where understanding an occupier’s operations and being able to manage the development process efficiently are important factors.

Kowalewski has more than 15 years of experience in commercial real estate in Poland and international markets. His background covers leasing, business development and asset management, with a particular focus on industrial and logistics properties.

During his career, he has worked on leasing and development strategies, negotiations with occupiers and business partners and projects valued at up to €90 million. His experience includes cooperation with international companies operating in logistics, FMCG, automotive and e-commerce.

His appointment forms part of Redkom Development’s plans to build a larger industrial and logistics portfolio while continuing to develop its core retail park business.

Dekpol to deliver PLN 196 million redevelopment of Poznań Palm House

Dekpol Budownictwo has been appointed general contractor for the redevelopment of the Poznań Palm House, with the City of Poznań investing more than PLN 196 million gross in the modernisation of one of the city’s best-known public attractions. The contract for the project was formally signed on 17 August 2026.

The programme will involve the reconstruction and expansion of a complex covering more than 10,000 sqm. The investment is being supported by funding from Poland’s National Recovery Plan and is intended to bring the historic facility in line with current technical requirements while improving conditions for its botanical and zoological collections.

A significant part of the work will focus on the building envelope and technical infrastructure. Glazing across the pavilion façades and roofs will be replaced, with the new solutions designed to improve natural light while reducing the amount of energy required to operate the facility. Heating and other infrastructure will also be modernised, while automated systems will manage ventilation, shading and lighting.

The redevelopment will also substantially expand the aquarium component of the attraction. A new building will contain two large aquariums with capacity for almost 1,000 cubic metres of water. One will incorporate a glazed tunnel allowing visitors to pass through the aquarium environment. The main entrance will also be reconstructed, while the existing café is scheduled for demolition and replacement.

The investment extends beyond the buildings themselves. Landscaping around the Palm House will be renewed, including measures intended to improve rainwater retention through planting and more permeable ground surfaces. Accessibility across the complex will also be improved for visitors with disabilities, while the design must take account of the protected status of the property and its surroundings.

Poznań mayor Jacek Jaśkowiak said the condition of the Palm House had made reconstruction necessary after decades of operation. The objective is to preserve the historical importance of the attraction while providing better conditions for its plant collection and adapting the complex to contemporary standards.

For Dekpol Budownictwo, the contract adds another public-sector project to its portfolio in Poznań. Mariusz Niewiadomski, president of Dekpol Budownictwo, highlighted the additional requirements associated with carrying out construction work around a valuable botanical collection and within the historic environment of Wilson Park.

The Poznań Palm House has operated since 1911 and is among Europe’s older botanical exhibition facilities. Its ten pavilions contain approximately 17,000 plants representing around 1,100 species, alongside collections of exotic reptiles, amphibians and birds. The complex has also housed a public aquarium since 1922, with the current collection comprising 170 fish species displayed across 37 tanks.

The property underwent its last major reconstruction during the 1980s and reopened to visitors in 1992. The Palm House has been entered in the register of historic monuments since 1980, meaning the organisation of construction works and related documentation for the latest redevelopment must be coordinated with the municipal heritage conservation authorities.

The project combines a major public construction contract with the refurbishment of a protected historical asset. Rather than simply expanding the attraction, the programme is focused on replacing ageing infrastructure, reducing energy requirements, improving accessibility and creating better environmental conditions for collections that have developed at the site over more than a century.

Owner-occupiers drive Poland’s new-home market as demand shifts towards larger apartments

Poland’s new-build residential market is being driven primarily by people buying homes for their own use, while investment purchases have become more selective and foreign buyers remain a secondary source of demand. Developers are also reporting stronger interest in larger apartments, although compact two- and three-room units continue to account for a substantial part of sales.

A survey of residential developers prepared by property service Dompress indicates that the composition of demand has changed from the period when inexpensive financing and rapidly rising prices encouraged greater investment activity. Buyers now place more emphasis on usable space, total purchase cost, transport connections and access to everyday services.

At Develia, owner-occupiers currently account for around 70-75% of transactions, including both first-time buyers and households moving to larger homes. Investors represent approximately 25-30% of purchases, despite rental yields being lower than several years ago. Two-room apartments remain particularly popular among this group.

The developer also reports that foreign nationals now represent around 10% of its transactions, suggesting that international migration is beginning to have a measurable impact on some parts of the primary residential market.

The picture varies considerably between companies and cities, however. Ronson Development estimates that foreign purchasers account for only several percent of its sales, while Archicom does not currently see international migration as a major influence on its demand.

Larger homes gain ground

One of the clearer themes emerging from developers’ responses is increasing interest in apartments intended as longer-term homes rather than temporary or purely investment properties.

Atal reports particularly good sales of three- and four-room apartments. In Kraków, the company has also observed demand for apartments of around 100 sqm or more, with buyers indicating that relatively few properties of this size are available.

Alides Poland has experienced a similar pattern at its two Warsaw developments. At WestoWola on Jana Kazimierza Street, more than half of purchasers already live in the surrounding part of Warsaw and are buying primarily to improve their housing conditions. Demand for larger units has been strong enough that the developer is offering some buyers the possibility of combining smaller apartments.

At the premium ReVola project on Karolkowa Street, purchases for personal occupation also dominate, including existing homeowners looking for a higher residential standard. Another group consists of parents purchasing apartments for children moving to Warsaw, including those beginning university studies.

Grupo Lar Polska similarly reports fewer investment transactions and a growing proportion of purchases by end users, contributing to an increase in the average size of apartments sold.

The trend does not mean that smaller properties have lost their position in the market. BPI Real Estate Poland, Robyg, Profit Development, MS Waryński Development, Matejek Group and Alter Investment all identify functional two- and three-room apartments as an important part of current demand.

Depending on the developer and city, the most active segment generally falls between approximately 40 sqm and 70 sqm. These properties can accommodate first-time buyers, couples and smaller families while remaining relatively liquid on both the resale and rental markets.

Archicom reports that two-room apartments continue to generate the largest share of its sales, but three-room properties are increasingly achieving comparable results. Where household finances permit, buyers are often choosing an additional room to provide greater flexibility.

Investors remain active but more selective

Investment demand has not disappeared, particularly in Warsaw, central Wrocław and other large urban markets, but developers generally describe today’s investor as more cautious than during the period of very low interest rates.

Rental income alone is no longer necessarily sufficient to justify a purchase. Investors are increasingly assessing operating costs, location quality, potential tenant demand and prospects for longer-term capital appreciation.

This helps explain the continued preference among investment buyers for smaller two-room apartments, where the total acquisition price is lower and the potential tenant base is relatively broad.

Cash investors are also becoming more price-sensitive. MS Waryński Development reports that such buyers are increasingly prepared to wait for attractive pricing rather than entering the market regardless of valuation.

For the wider development market, this shift means that sales are becoming more closely connected to the financial position of Polish households. Grupo Lar identifies mortgage capacity as an important driver, while Robyg points to economic conditions, credit availability and domestic housing requirements as stronger influences on overall demand than international migration.

Location increasingly means connectivity rather than simply city centre

Developers also describe a more nuanced approach to location.

In Poland’s most expensive metropolitan markets, buyers are increasingly prepared to consider districts outside the central core where larger apartments can be obtained within their budgets. What matters is whether those locations provide efficient public transport, schools, shops, services and access to green space.

BPI Real Estate Poland describes this as broadly consistent with the 15-minute-city approach, where residents can meet most everyday requirements within a relatively small area.

Profit Development reports strongest demand for first homes, particularly functional two- and three-room apartments of approximately 50-70 sqm. MS Waryński identifies a similar preference for 45-60 sqm units outside the most expensive central districts but with good access to the city centre.

In Kraków, Matejek Group sees particularly strong interest in apartments of around 50-70 sqm. Such layouts can accommodate families as well as people working remotely or on hybrid schedules who require an additional room for working from home.

Foreign buyers are becoming more visible, but the impact is uneven

Migration presents a more complicated picture.

Several developers report increasing numbers of foreign purchasers, particularly Ukrainians as well as professionals from countries including India and Turkey.

Atal says foreign nationals, including Ukrainian and Indian buyers establishing longer-term lives in Poland, are becoming a more visible group among purchasers of larger apartments. Alides has meanwhile recorded enquiries at its Warsaw premium project from buyers originating from markets including the United States and the United Arab Emirates.

Other developers argue that international migration has a much greater effect on rental demand than direct residential sales. BPI Real Estate Poland and Grupo Lar both point to this distinction, while Archicom considers domestic migration into the country’s major cities more important to new-home purchasing than international migration.

Internal migration can generate several forms of demand simultaneously. Buyers moving from smaller towns may acquire properties ahead of a future relocation, as accommodation for children studying in major cities, as second homes or as longer-term investments.

Primary market increasingly shaped by housing needs

Taken together, the developers’ responses suggest that Poland’s new-build market is currently more dependent on underlying housing requirements than speculative investment demand.

The strongest common themes are purchases for personal occupation, first-time buyers and households seeking more space. Investment capital remains present but appears more selective, while international buyers provide additional demand without yet becoming the dominant force across the market.

The changing buyer profile could also influence what developers bring forward. While compact two- and three-room apartments remain central to sales, demand for larger family properties appears stronger than in previous periods, particularly in Warsaw, Kraków and other major employment centres.

For developers, this places greater emphasis on the structure of individual projects. Apartment size, efficient layouts, transport accessibility, surrounding services and green space are increasingly being considered together rather than price per square metre alone.

Photo: Moja Oszmianska, Grupo Lar Polska

Source: dompress.pl

FutureMeds adds 592 sqm to Wrocław headquarters at Infinity

FutureMeds is expanding its operations at the Infinity office building in Wrocław, leasing an additional 592 sqm as the clinical research company increases its headquarters capacity in Poland.

The new space is located on the fourth floor and has been secured under a long-term agreement. Once the expansion is completed, FutureMeds’ international headquarters and medical clinic will occupy more than 1,700 sqm in the building. The additional premises are scheduled to be handed over in September 2026 and will be delivered on a turnkey basis.

FutureMeds has operated from Infinity since 2023. Its clinic is located on the ground floor, while its international headquarters currently occupy space on the first floor. The latest lease will provide additional offices as the company’s organisation and European clinical research network continue to expand.

Established in 2019, FutureMeds operates more than 30 clinical research locations across Poland, the UK, Spain, Germany, Bulgaria, Romania and Ukraine. Its Polish network consists of seven centres in six cities: Wrocław, Warsaw, Kraków, Łódź, Olsztyn and Gdynia. Wrocław also serves as the company’s international headquarters.

Radosław Janiak, CEO of FutureMeds, said the additional space forms part of the company’s continued development in Wrocław and its plans to strengthen Poland’s role within its European clinical research operations.

The transaction is also the third expansion completed by an existing tenant at Infinity, according to Avestus Real Estate. Marta Kiernicka-Szarska, Wrocław Leasing Director at Avestus Real Estate in Poland, said occupiers in Wrocław are becoming increasingly selective, with building quality, location, landlord flexibility and the ability to adapt space becoming important factors alongside the amount of space available. She also pointed to the limited pipeline of new office development in the city.

Infinity is a seven-storey Class A property comprising 18,727 sqm of office accommodation and 1,561 sqm of retail and service space. The building has a three-level underground car park with 311 spaces, EV charging points and cycling facilities including 128 bicycle spaces, changing rooms and showers.

The property was developed by Avestus Real Estate together with Alchemy Properties and was built in accordance with BREEAM Excellent requirements. Its occupiers include companies from the technology, healthcare, aviation, residential development and professional-services sectors.

AD Studio designed Infinity, Eiffage Polska Budownictwo served as general contractor and JLL was responsible for the project’s commercialisation.

Bulgaria sets 2030 energy agenda around nuclear power, grid investment and market reform

Bulgaria has adopted a new four-year energy programme setting out government priorities through 2030, with nuclear generation, electricity and gas infrastructure, storage capacity and the gradual liberalisation of the household power market forming the main elements of the plan.

Approved by the government on 12 August 2026, the programme seeks to balance security of supply and household affordability with the need to maintain competitive energy costs for Bulgarian industry. It also establishes a longer planning horizon, with a national sustainable energy strategy extending to 2050 and periodic reviews of future consumption, generation capacity and system requirements.

One of the most significant elements is the continued role assigned to nuclear power. Bulgaria intends to extend the operating life of Units 5 and 6 at the Kozloduy nuclear power plant while continuing preparations for Units 7 and 8 using Westinghouse AP1000 technology. Preparatory work towards a final investment decision for the additional units is scheduled for October 2026.

The government also intends to assess the potential introduction of small modular reactors. A national assessment of possible new nuclear projects is planned by September 2027, followed by a regulatory and administrative roadmap for SMRs in early 2028.

Coal-fired capacity will not be removed immediately from Bulgaria’s energy system. Instead, the programme envisages retaining part of the country’s coal generation capability to provide additional capacity during periods of unusually high demand or disruption. This approach is intended to accompany the economic transition of Bulgaria’s traditional mining regions rather than relying on rapid closures.

Hydropower and electricity storage represent another major part of the programme. Restoration of capacity at the Chaira pumped-storage hydroelectric facility is targeted for June 2028, while the government plans to assess further modernisation of existing hydroelectric facilities and opportunities for additional pumped-storage developments.

The strategy could generate a substantial pipeline of infrastructure investment. Bulgaria plans approximately 700 kilometres of new 400 kV transmission lines by the end of 2029, together with four new 400/110 kV substations and eight additional 400 kV switchgear installations.

Electricity distribution networks are also due to undergo further digitalisation, including wider deployment of smart metering. Legislative changes planned for September 2026 are intended to simplify connections for electricity generation, storage and consumption facilities.

Gas infrastructure remains part of the country’s diversification strategy. Transmission capacity between Greece and Bulgaria is scheduled to increase to 93 GWh per day by October 2026, while capacity towards Romania at Negru Voda/Kardam is targeted to reach 295 GWh per day by April 2027.

Expansion of the Chiren underground gas storage facility is expected to increase capacity to 1 billion cubic metres by the end of 2029. Together with electricity-network investment and cross-border connections, the projects form part of Bulgaria’s ambition to strengthen its position as an energy transit and trading centre for Southeast Europe.

Renewables will develop alongside nuclear, hydro, gas and existing conventional generation rather than through a policy centred on a single technology. Planned amendments to the Energy Act include provisions supporting decentralised generation, energy communities, hydrogen and storage, while changes to energy-efficiency legislation are intended to accelerate improvements to Bulgaria’s building stock.

This could have implications for the country’s property and development sectors. Greater access to decentralised generation, storage and energy-sharing arrangements could support investment in photovoltaic systems and battery storage associated with commercial, logistics, industrial and residential properties. Changes to building-efficiency requirements could also increase the importance of renovation programmes across Bulgaria’s existing building stock.

Another major policy issue is electricity-market liberalisation. Rather than immediately exposing households fully to market prices, the government intends to conduct a socio-economic assessment before further changes are introduced.

An information system identifying energy-poor and vulnerable households is planned by December 2026. The government will then examine potential consumer-support structures, including models under which a basic level of electricity consumption could receive more favourable pricing. A framework for phased liberalisation is scheduled for September 2027.

State-owned energy companies will meanwhile face greater scrutiny. Independent financial and management reviews are expected by October 2026, followed by common performance measures covering financial discipline, operational efficiency and governance.

The government also intends to examine whether minority interests in state energy businesses could eventually be offered through the Bulgarian Stock Exchange while retaining state control. At this stage, however, this is an assessment rather than a confirmed privatisation programme.

Workforce shortages have also been incorporated into the energy strategy. Bulgaria plans to map occupations where shortages of engineers and technical specialists could constrain investment and establish a National Programme for Young Specialists in Energy beginning with the 2027/2028 academic year. Scholarships, internships and dual-training arrangements are expected to form part of the initiative.

The scale of the programme means implementation will extend well beyond immediate legislative changes. Amendments covering energy markets and efficiency are expected during autumn 2026, while major infrastructure milestones are concentrated between 2027 and 2030.

For Bulgaria’s investment market, the programme points towards several years of capital expenditure across nuclear generation, electricity transmission, gas storage, hydropower, renewable generation, battery storage and building efficiency. The more important question will be how quickly the individual measures progress from government targets into financed and contracted projects.

If implemented broadly according to schedule, the programme would reinforce Bulgaria’s position as an increasingly important part of Southeast Europe’s interconnected energy infrastructure while maintaining a relatively diversified domestic generation base.

Source: CMS

Green House Development launches sales of 154 apartments at Wave Ustka

Green House Development has started pre-sales of apartments at Wave Ustka Thermal & Spa, its third development under the Wave brand on Poland’s Baltic coast. The first phase covers 154 apartments in Building A, for which a building permit has already been obtained.

The full development is planned to comprise four interconnected buildings with approximately 618 apartments, a year-round thermal and spa area and almost 6,700 sqm of commercial space. The project will be located close to the beach in Ustka, surrounded by pine forest and around a ten-minute walk from the town centre.

Construction of Building A is scheduled to begin in the first quarter of 2027 and completion is planned for the first quarter of 2029. The building will include an underground garage, restaurant, swimming pool, sauna area, gym and games room, as well as a rooftop viewing terrace.

The project represents the next stage in Green House Development’s expansion of the Wave concept. Its first development, Wave Międzyzdroje Resort & Spa, comprises more than 400 apartments and is operated by the developer. According to the company, almost all of the apartments have been sold.

The second development, Wave Świnoujście Thermal & Spa, is scheduled for completion in the second quarter of 2029. Green House Development reports that almost 60% of the initial 218 apartments were sold during the first six months of sales.

Wave Ustka has been designed by MODO architektura. The four buildings will range between nine and ten storeys and will be positioned separately within the site rather than forming a continuous development along the beachfront. The buildings will be connected by internal passages and share an underground garage.

Building A will be offered under a private ownership model without compulsory participation in a rental programme. Apartments will be subject to 23% VAT, with potential VAT deductions depending on the purchaser’s circumstances and applicable regulations. Owners wishing to rent their units will be able to use optional management services, including those offered by Solarento.

“Building A is being offered to private owners without mandatory rental management. Our conversations with clients show that some of them want to own an apartment by the sea on their own terms, use it whenever they wish and decide independently whether and when to rent it out,” said Adam Sadowski, President of the Management Board of Green House Development.

A central part of the completed development will be the thermal and spa area. The developer has not provided a final size for the Ustka facility but says it will be comparable with the wellness component being developed at Wave Świnoujście, which covers more than 4,000 sqm.

Green House Development intends the leisure and hospitality facilities to operate throughout the year rather than only during the main Baltic summer season. Restaurants, swimming pools, wellness facilities and other commercial uses are planned as part of the completed complex.

The development is approximately 120 km from the Tricity area. According to the developer, its proximity to both Ustka and the beach is intended to combine access to the town’s existing infrastructure with a less densely developed coastal setting.

Further stages of Wave Ustka Thermal & Spa will be introduced as the necessary building permits are obtained, eventually bringing the planned total to around 618 apartments.

Czech producer prices rise in July as construction costs remain elevated

fletcher@cijeurope.com
18 August 2026
Business, Construction, Energy, Manufacturing

Producer price pressures in the Czech economy strengthened moderately in July 2026, with industrial prices recording both monthly and annual increases and construction costs continuing to rise faster than prices across much of the wider economy.

Industrial producer prices increased by 0.3% compared with June and were 1.6% higher than a year earlier, accelerating from annual growth of 1.3% in June, according to the Czech Statistical Office (CZSO).

The figures indicate that inflationary pressures at the producer level remain uneven. While industrial and construction-related costs are rising, agricultural prices have continued to fall sharply and some categories of manufactured goods are also cheaper than a year ago.

Construction remains one of the areas experiencing the strongest cost growth. Estimated construction work prices increased by 0.2% month-on-month in July and were 4.5% higher year-on-year. More significantly for developers and contractors, prices of materials and products used in construction increased by 6.9% compared with July 2025, accelerating slightly from 6.7% in June.

The continuing increase in material costs suggests that the Czech construction sector is still facing meaningful cost pressure despite the broader moderation of inflation compared with the peaks experienced earlier in the decade. For developers, this could continue to influence construction budgets and the economics of projects where margins are already being affected by financing, labour and land costs.

Industrial prices showed a more moderate increase overall, although substantial differences remain between sectors.

Prices for chemicals and chemical products were 14.5% higher than a year earlier, while rubber and plastic products increased by 5.7% and other non-metallic mineral products by 4.0%. Intermediate goods recorded an annual increase of 4.4%, while energy prices were 2.2% higher.

Electricity, gas, steam and air-conditioning prices, however, were 3.9% lower than a year earlier. Prices of motor vehicles, trailers and semi-trailers declined by 1.2%, including a 1.9% fall in parts and accessories.

Food manufacturing also recorded significant price declines. Producer prices for food products were 5.6% lower year-on-year, including a 15.1% decline for dairy products and a 7.2% decrease for preserved meat and meat products.

Agriculture recorded the largest overall fall among the sectors monitored by CZSO. Agricultural producer prices declined by 1.3% from June and were 13.0% below their level a year earlier, following a 13.5% annual decline in June.

Crop prices decreased by 8.1% year-on-year, including a 13.4% fall in cereals. Animal production prices declined by 18.1%, with prices for pigs for slaughter down 27.5% and milk prices falling 26.7%.

The agricultural figures could eventually contribute to lower cost pressures further along the food supply chain, although movements in producer prices do not necessarily translate directly or immediately into consumer prices.

Business services presented a different picture. Producer prices in the sector fell 1.8% compared with June but remained 2.8% higher year-on-year. The sharp monthly decline was influenced by advertising and market research, where prices fell 19.8%, and programming and broadcasting services, which recorded a 20.8% decrease.

Excluding advertising, business service prices were unchanged month-on-month and increased 2.1% annually, suggesting that the headline monthly decline was heavily influenced by individual service categories.

Several business services nevertheless continued to record relatively strong annual increases. Employment services were 10.1% more expensive than a year earlier, information services increased by 6.5% and security and investigation services by 6.3%. Insurance-related services increased by 3.2%.

The latest Czech figures also contrast with the broader European producer-price environment recorded a month earlier. Preliminary Eurostat data cited by CZSO showed industrial producer prices across the EU increasing by 4.7% year-on-year in June 2026, compared with 1.3% in Czechia during the same month.

There were substantial differences between individual EU economies. Bulgaria recorded an annual increase of 18.2% and Romania 14.3%, while Germany stood at 1.9%, Poland and Austria at 2.4%, and Slovakia at 3.7%.

For the Czech real estate and construction sectors, the July data therefore present a mixed picture. Overall industrial producer inflation remains relatively contained, while falling agricultural and some energy-related prices point to easing pressure elsewhere in the economy. Construction inputs, however, continue to move in the opposite direction.

With construction materials and products almost 7% more expensive than a year ago and construction work prices up 4.5%, development costs remain an important consideration for new residential, commercial and infrastructure projects. The divergence suggests that even as general producer inflation remains moderate, the cost environment facing the property development sector has yet to normalise fully.

EU Corporate Strain Builds as Insolvencies Climb and Business Creation Slows

Financial pressure on European companies increased during the second quarter of 2026, with insolvencies moving sharply higher while the creation of new businesses lost momentum. The figures point to a more difficult operating environment across parts of the European economy, although conditions vary considerably between industries.

Across the EU, declarations of bankruptcy increased by 5.7% compared with the previous quarter, while new company registrations declined by 0.5%. Within the euro area, the increase in insolvencies was stronger at 6.9%, while registrations slipped by 0.1%.

The latest increase takes EU bankruptcy declarations to their highest point since the comparable Eurostat series began in the first quarter of 2019. This follows a long upward movement that began after the pandemic period, interrupted by declines in the final quarter of 2025 and the opening three months of 2026.

The business formation figures tell a somewhat different story. Registrations had generally strengthened between 2022 and 2024 and again during much of 2025. Activity has subsequently softened, with declines recorded in both the first and second quarters of this year. Despite the recent slowdown, registration levels in most industries remain above those recorded immediately before the pandemic.

The overall EU figures also conceal substantial differences between sectors.

Industry recorded the largest reduction in new business registrations during the second quarter, falling 3.6% from the previous three months. Accommodation and food services declined by 3.4%, while education and social activities were down 3.2%.

Technology-related businesses moved in the opposite direction. Registrations in information and communication increased by 8.8%, continuing the expansion seen in the sector since the second quarter of 2025. Construction also recorded growth, with registrations increasing by 1.0%, while financial services were unchanged.

The insolvency figures show an equally fragmented picture.

Bankruptcy declarations increased across five of the eight economic sectors monitored. Education and social activities recorded the largest quarterly increase at 21.1%, followed by transport at 11.4% and financial services at 6.8%.

Construction was one of the sectors moving against the wider trend, with bankruptcy declarations declining by 1.7%. Accommodation and food services recorded a 2.6% reduction, while insolvencies in trade decreased by 1.2%.

The construction figures are particularly relevant for the European property market. A year earlier, during the second quarter of 2025, construction bankruptcies had increased by 8.1% quarter-on-quarter. The latest figures therefore indicate an improvement in the direction of travel for the sector, even as corporate failures across the wider economy are increasing.

Differences between individual EU countries are also considerable. Estonia recorded a 31.8% quarterly increase in bankruptcy declarations, followed by Greece at 31.6% and Croatia at 20.5%. At the opposite end of the ranking, Malta recorded a 50% decline, Cyprus 41.7% and Slovakia 33.5%, although Eurostat cautions that relatively small numbers of cases can produce substantial percentage movements in smaller economies.

Business creation showed similarly wide geographical variations. Ireland recorded a 20.4% increase in registrations, followed by Belgium at 8.2% and Sweden at 7.6%. Luxembourg recorded the largest decline at 24.2%, followed by Lithuania at 12.4% and Denmark at 8.2%.

For the commercial property market, the figures provide another indicator of increasingly uneven occupier conditions across Europe. Rising insolvencies can translate into greater tenant risk for landlords and lenders, particularly where individual sectors are experiencing sustained financial pressure. At the same time, continued company formation in areas such as technology and construction indicates that the deterioration is far from uniform.

The contrast with the same period last year is also notable. In the second quarter of 2025, EU business registrations increased by 4.6% and bankruptcies rose by only 1.7%. One year later, the direction has changed: fewer businesses are being established while corporate failures are increasing at a faster quarterly rate.

The figures do not by themselves indicate a broad corporate downturn. Bankruptcy statistics can be influenced by national legal frameworks, delayed restructuring and sector-specific conditions, while quarterly movements can be volatile. Nevertheless, the combination of softer business creation and the highest level of insolvency declarations in the available EU series suggests that financial resilience among European companies will remain an important indicator for investors, lenders and commercial property owners during the second half of 2026.

« Previous 1 … 45 46 47 48 49 … 573 Next »

Latest news

All posts by fletcher@cijeurope.com.