The fourth edition of the report ?Residential Markets in Central European Capitals? prepared in co-operation with our strategic partner Jones Lang LaSalle was launched in Cannes during MIPIM Conference. The report presents the latest research data on residential markets in twelve CEE capital cities.
The residential market is influenced to a large extent by the macro-economic performance of the respective country. Likewise, the development of the Central European housing market has been sporadic and will continue to vary greatly from place to place. Some markets are facing a protracted recession, while others are already showing early signs of recovery.
Despite significant price drops on most markets, demand has not returned significantly. However, some markets saw a slight increase in the number of sales at the end of 2009 and a stabilization in prices. In addition, there was a growth in activity from opportunistic buyers. These new types of investors, however, appear to be very selective in terms of the residential market as well as in their choice of land plots and distressed projects.
Paweł Sztejter, Partner at REAS says: ?In some housing markets of Central Europe the beginning of a slight improvement can be observed, while others continue to struggle. Only Poland – the region?s largest market – managed to maintain positive GDP growth in 2009. In consequence of relatively good economic situation of the country, visibly higher number of sales in Q4 2009 has already encouraged developers to launch new projects. Nevertheless, the year 2010 will prove to be a challenge for many residential developers and investors throughout the region as well as in Poland, and an opportunity for a few new market players?.