Investment volumes in CEE in Q1 2016 decreased by 6 percent y-o-y to €1.84bn. CBRE expects that over the course of 2016, investment volume will not just reach but will exceed the record volumes of 2015, as all of the CEE countries are expected to perform strongly.
Multiple small and medium transactions were finalized in the first three months of 2016 in all property sectors. The average transaction price was €24m for more than 110 completed transactions, whereas in Q1 2015, 50 transactions were closed with an average price €45m. German investors were the most active buyers this last quarter, followed by local Polish, Czech and Slovak investors.
Prime yields remained mostly stable in the region in the first quarter, except for Czech Republic and Poland, where office sector yields fell 25 bps to 5.50 percent. It’s a record low level for this current economic cycle and it’s being driven from continued interest from investors for the few core assets that are available.
