Skanska Strengthens its Office Development Business in CEE
Skanska had another great year for its business in commercial development in the CEE region. The company sold nine buildings and leased more than 150,000 sqm in ten CEE cities.
The demand for prime office space throughout the CEE region was driven by the evolution of the business services sector and GDP growth. It is interesting to note that such spaces popular not in big cities only but regions too.
Skanska made its input into satisfying the necessity by offering 8 buildings with more than 120,000 sqm of space. Also, the company made an investment of €495 mln to new projects for more than 210,000 sqm in the nearest future.
However, the company is not investing only. It also implements innovation solutions, for example, Connected by Skanska system, concrete pavement which decreases pollution, and more.
A Skanska representative stressed that last year was a great one for the whole real property market in the region. The company managed to make good deals too. It is important to note that the company focuses on futureproof workplaces and thus, does all it can to provide high-quality projects. He also stressed that they are the biggest office builder in the whole region.
Certification – the secret of the futureproof office
Ten years ago Skanska said it would integrate the LEED Certificate for all constructions in CEE. The company started with a building in the Polish capital and thus, promoted the idea of sustainable constructions on the commercial property market. In 2018, the company decided to integrate another certificate, WELL, in their two projects in Poland and the Czech Republic. The company believes that certified premises will be more attractive for renters because they have a good influence on workers’ health. They also hope to attract investors searching for top-quality property.
CEE looks attractive to new investors
Many companies are watching the CEE real property market carefully. JLL estimated that the volume of transactions was more than €13.2 billion in 2018. This is 11 percent more than in the previous year; 54 percent belongs to Poland.
According to a representative of Skanska, the CEE region looks interesting to internal and foreign investors, including Far East representatives. In fact, the company signed an agreement with a Philippines company which purchased buildings in Katowice. This year ROI in the region remains higher than in Western European countries. The company predicts that the demand for prime office premises will be high and they are ready to satisfy the demand.
Plans for 2019
In the first months of 2019, Skanska became the only proprietor of Business Link – a set of co-working and private offices in several cities across Poland. Now, Skanska will be able to better serve future renters that are willing to have fully serviced offices in the region. Plus, the company continues working on 19 buildings throughout CEE. Each spot will include the best innovation and sustainability practices which have already become the business card of Skanska.