Retail parks & convenience retail

Foreword

Convenience schemes still dominate the retail investment market in Poland and investors have confidence in small retail parks. They often accommodate discounters and value retailers of strong performance today, when people curb unnecessary purchases and are more price-sensitive on the first-need goods. Ballooning inflation reflected in a decrease of the purchasing power of buyers and deterioration of consumer sentiment will paradoxically work in favour of convenience schemes characterised by the basic, discount offer.

Poland still offers very generous yields in retail parks, which confirmed to be the recession-resilient sector during the COVID-19 pandemic. The ongoing market turmoil as well as economic uncertainty will keep the position of retail parks strong. Upcoming months should bring two major newcomers from France and Israel to the Polish investment market, attracted by this particular product.

Michał Ćwikliński MRICS

Principal, Managing Director - Poland