CBRE: Romania Real Estate Market Outlook H1 2022

Download Romania Real Estate Market Outlook H1 2022.pdf

Source CBRE Romania

The total investment volume in Romania reached EUR 323 mln. in the first half of 2022, 6% higher compared with the amount transacted in the same period of the previous year, according to the Romania Real Estate Market Outlook 2022 research special report, launched by CBRE Romania, the leader of the real estate consultancy market.

In the first six months, 14 transactions were signed, with an average value of 23 million euros. At the same time, 79% of the year-to-date volume was concluded during the second quarter of the year. The largest transaction of the year to date was signed in the second quarter of the year, with the acquisition of EXPO Business Park by S IMMO AG from Portland Trust, assisted by CBRE.

Claiming the largest share of the total investment volume, Bucharest attracted 10 transactions. Only 20% of the total investment was directed towards regional cities out of which Cluj-Napoca emerged as the most sought-after regional location.

”The pipeline of activity for 2022 remains very strong and we are certainly seeing the premises for one of Romania’s strongest years in terms of transactional volume. The outlook for 2023 is more mixed, as the ongoing interest rate hikes are having a downward effect on liquidity. Even in this context, Romania’s high yields by regional standards are acting as a buffer to safeguard activity.” says Mihai Pătrulescu, Head of Investment Properties at CBRE Romania.  

Macroeconomics

Mid-year main macroeconomics indicators reveal a steady but at a slower pace economic rebound at two years after the 2020 economic decline.

Investment

Mid-2022, the investment volume in Romania amounted EUR 323 mln., 6% higher compared with the amount transacted in the same period of the previous year.

Office

In the first half of 2022, the total office leasing activity in Bucharest amounted 132,500 sq m, value with 18% higher compared with the same period of the previous year.

Industrial

In the first six months of 2022, almost half a million sq m of logistics spaces was leased throughout the country, with 38% more compared with the similar period of 2021.

Retail

The sentiment of recovery for retailers is backed by increases of footfall compared with the amount registered in 2019.

Land

Development land for future residential schemes was the most sought after by developers, the overall surface of land in this type of transactions representing 63% of the total transacted during the first six months of the year.