Poland: Stability amidst shifting dynamics, office sector leads

In 2025, the Polish real estate investment market saw a total transaction volume of €4.5 bn, a 13% decrease year-on-year, primarily due to limited institutional capital involvement, according to Avison Young. 

Paulina Brzeszkiewicz-Kuczyńska

Despite this, market liquidity remained stable with 151 transactions, similar to 2024. The office sector dominated, accounting for 39% of the total volume, followed by industrial at approximately €1.5 bn, and retail at €859 mln. Polish capital significantly increased its market share to 18%, according to Paulina Brzeszkiewicz-Kuczyńska, research and data manager at Avison Young.
Office Market
The office sector recorded €1.8 bn in investment volume, a 7% increase year-on-year, with 30 of 51 transactions occurring in Warsaw. Five major deals, each exceeding €100 mln, represented half of the sector's total volume. Polish investors were particularly active, contributing 30% of the volume and 50% of the transactions, showing a growing interest in smaller, value-add office properties and a shift from residential investments. Notable transactions included Mennica Polska's acquisition of a 50% stake in Mennica Legacy Tower and the divestment of Wola Center. Strong activity in both older assets and prime office buildings is anticipated in 2026.
Industrial Market
The industrial sector recorded €1.5 bn in investment volume, a 10% increase year-on-year. This was driven by sustained demand for sale and leaseback transactions and a shift towards secondary industrial hubs, which accounted for nearly 40% of the volume. The largest deal was the sale and leaseback of two Eko-Okna properties to Realty Income, the biggest such transaction in CEE. The industrial market is expected to see record volumes in 2026, fuelled by foreign capital inflows and continued interest in sale and leaseback deals.
Retail Market
The retail investment market recorded a transaction volume of €859 mln, a 48% decrease year-on-year, representing less than 20% of the total market. The focus shifted from large regional shopping centres to retail parks and convenience retail, which accounted for 70% of deals. Major portfolio transactions included My Park acquiring 10 A Centrum assets and Trei Real Estate divesting 25 retail parks to Ares Management Corporation and Slate Asset Management. Strong interest in retail parks and convenience properties is expected to continue.
Living Sector
The residential investment market, particularly the Private Rented Sector (PRS), recorded €223 mln in 2025, with €150 mln invested in three Warsaw PRS projects. AFI Europe and Xior Student Housing completed notable transactions. Vantage Development's announced acquisition of 18 Resi4Rent PRS assets represents over 20% of the country's operational PRS units. Poland's residential market is attracting increasing interest from both domestic and international investors.
2026 Outlook:
Poland remains an attractive investment destination. Anticipated interest rate cuts and a potential de-escalation of the war in Ukraine are expected to boost foreign capital inflows. Polish investors will continue to be key players, focusing on small to mid-sized assets with high returns or value-add potential across all sectors. Strong activity is also expected from CEE, as well as Western European, investors. The beginning of 2026 is projected to be dynamic, with numerous transactions initiated in 2025 slated for early completion.