Large infrastructure investments, significant salary growth above inflation, a stable external economic context, and central banks’ victory in combating inflation are helping the Romanian real estate market maintain a favorable outlook. However, results are generally mixed, according to Colliers Romania experts in their market report for the first half of the year, set to be released at the end of the month.
Colliers announces the promotion of Alexandru Atanasiu to Head of Construction Services and Member of the Board of Directors. Previously, he held the position of Deputy Head of Construction Services and Asset Services.
The hybrid working system, which combines remote work with in-office presence for the entire team, has remained in practice in many companies even after the end of the pandemic, but the number of employees returning to the office is growing, note consultants from the Asset Services department of Colliers Romania, which manages about 640,000 square meters of real estate, nearly 600,000 square meters of which are offices.
The first quarter of 2024 ended with real estate investments in Romania totalling 202 million euros, up 69 percent compared to the first three months of 2023, with transactions in the retail segment accounting for around two-thirds of the volume, according to a Colliers report. Compared to the other five major economies (Bulgaria, Czech Republic, Hungary, Poland and Slovakia) in Central and Eastern Europe (CEE), Romania was the best performer in a context where market activity in the region was soft and transaction volumes reached one of the lowest levels in a decade.
2024 looks to be a very good year for strategic acquisitions in the land market, given the favorable long-term outlook.
Activity in the land market has slowed over the past year, but investor enthusiasm for Romania’s long-term potential remains stable. Demand for strategic land plots, which now can be secured at more interesting terms than in a highly active market, is growing, Colliers Consultants note. This trend is attracting the interest of major developers looking to strengthen their position in the property market.
Environmental, social, and governance (ESG) principles are no longer just a trend or a buzzword, but rather becoming the norm in the Romanian real estate market.
The management and maintenance costs of the office buildings in Colliers Romania’s Asset Services portfolio increased by 9% last year compared to 2022. Higher costs for services in general, including higher salaries, and an improved presence of employees in the office in 2023 were the factors driving this trend.
The Romanian investment market recorded transactions of around 476 million euros last year, down by more than half over 2022’s cycle high of 1.25 billion euros, according to the 2023 Annual Report released by Colliers.
We use cookies to optimise site functionality and give you the best possible experience.
This site uses cookies to store information on your computer.
Some of these cookies are essential, while others help us to improve your experience by providing insights into how the site is being used.
Accept Recommended Settings
Necessary Cookies
Necessary cookies enable core functionality such as page navigation and access to secure areas. The website cannot function properly without these cookies, and can only be disabled by changing your browser preferences.
Analytics
Analytical cookies help us to improve our website by collecting and reporting information on its usage.
Marketing
We use marketing cookies to help us improve the relevancy of advertising campaigns you receive.
Social Sharing Cookies
We use some social sharing plugins, to allow you to share certain pages of our website on social media.