Ladies and Gentlemen!

am pleased to provide you with the next issue of CPRF Newsletter regarding “Commercial Properties Market and Valuation in Poland” issued twice a year in February and September. Differently to previous editions the topics of the current edition are more concentrated on the commercial properties valuation. Only, the last two articles regards: market of restaurants in modern office buildings in Warsaw and warehouse / light industrial development sites market in Strykow in Poland. I encourage you to review the various blocks of the Newsletter. I hope that it will meet with your interest.

Yours sincerely,
Roman Fortuna MRICS

CPRF has been operating since the beginning of 2004. Gaining the expertise, improving our image and creating new development perspectives we have decided to change the hitherto appearance of our website, www.cprf.com.pl

In the opinion of its users, the current version of CPRF website is more clear and user-friendly. It contains a profile of our company, a detailed description of services provided, interesting...

The idea behind the development of the Polish Professional Standards for Property Valuers (PSPV) by the Polish Federation of Valuers’ Associations (PFVA) was making the professional practice in a property valuation more consistent, as well as harmonize activities and rules used in conducting valuation business by professional valuers. The objective of the professional standards is to promote consistent rules in terms of approaches applied in a property valuation and secure interests of the client.

Although the real estate market is always local, global trends, mechanisms and standards start to play more and more important role in many areas of its operations. Poland, after gaining its membership in the European Union on 1 May 2005, started to be more exposed to those processes. That is why increasingly often a need arises or is even imposed to apply and rely upon international valuation standards. Two major global and European sets of international standards in valuation are: the International Valuation Standards (IVS) published by the International Valuation Standards Committee; and the Valuation Standards of the Royal Institution of Chartered Surveyors in London, (RICS), also known as the Red Book.

The commercial real estate market is becoming increasingly complicated and sophisticated. Developers and investors try to use innovative legal, tax and investment solutions to optimize their investment performance. Therefore, based on completed investment transactions on the commercial real estate market and legal regulations concerning the ownership of land and improvements in Poland, it is possible to have an open market transaction in which land owned by Company A is sold separately from improvements on that land, which include a commercial building developed for a lease by Company B, independent from Company A. As a result, despite a number of restrictions, it is possible under such circumstances to establish Market Value of the land. 

What gives a better position? A traditional lease, where the total monthly rent depends on the premises total area or a lease, where the rent payments are driven by the sales volume of the tenant/catering operator? What should be taken into consideration...

Until recently, the answer to the question where in Poland distribution parks are concentrated was simple and unambiguous – it was the Warsaw region. Nowadays, the situation is substantially changing. Although Warsaw and its vicinity is still considered by many developers and end-users as good location for their development projects, their interest also shifted to attractive areas close to the future intersection of A1 and A2 motorways, i.e. in the region of Łódź and Piotrków Trybunalski.