Poland’s retail market grew at a slower pace in the first quarter of the year, according to the most recent report from JLL, which writes that just 24,500 sqm of new space was delivered. Galeria Glogovia, 21,000 sqm shopping center, was opened, while Atrium Promenada completed an extension of 3,500 sqm. However, there’s another 65,000 sqm of space under construction, with the biggest portion of this new supply going up the country’s biggest cities.
“Whereas most of the projects delivered in smaller cities are tailor-made and sufficient for the size of a particular market, projects developed in larger cities are filling geographical gaps. In addition, retail assets also allocate an increasing share of GLA to leisure tenants, such as fitness clubs and restaurant areas. We also see that retail developers are becoming increasingly sensitive about the aesthetics and communal areas around their projects”, says Edyta Potera, National Director, Retail Agency at JLL.
At the same time, increasing competition within the sector is driving renovations, remodelling and extensions of existing projects. “An increasing number of mixed-use developments, offering retail and service space in residential projects, office buildings or as a part of transportation hubs are making their mark on the market. This is particularly the case in the major cities, where new projects with a smaller retail component are emerging in post-industrial sites, harnessing the areas’ historic context in order to create a stimulating shopping and leisure environment,” comments Anna Bartoszewicz-Wnuk, Head of Research & Consulting at JLL.
