CEE REGION Around EUR 2.3 bln was invested in CEE properties in Q1, a 41 pct y-o-y and 45 pct m-o-m increase, according to a report just published by Colliers International and CMS.
Out of the countries covered by the survey (Bulgaria, the Czech Republic, Hungary, Poland, Slovakia and Romania), the Czech’s enjoyed the largest share: 62 pct of the total. The report also predicts that the record EUR 12.2 bln transacted in 2016 is likely to broken again this year, as flows from the UK, the US and Western Europe remain stable and as Asian and CEE investors become increasingly active in the market. Significant local investor activity has been especially noted by the authors in Hungary and the Czech Republic, while the latter and Poland are also likely to see Thai investors enter their markets.
“The further distance we get from 1989, the more developed the CEE markets become and the less reliant on outside investors we are. This can be observed not only in the real estate sector, but in the whole M&A market. The spread of warranty and indemnity insurance across the CEE markets is another sign of growing maturity in the region as well as the increased level of sophistication in the structuring of large real estate deals,” says Wojciech Koczara, a partner at CMS.