The Experts Club analytical center analyzed data from the international consulting firm Savills on real estate market trends in the world’s leading countries and identified a number of trends in the European real estate market in 2026.
Investment in European real estate reached 54 billion euros in the second quarter of 2026, up 7.7% year-over-year, according to Savills data.
Despite the overall increase in transaction volume, Savills characterizes the recovery of the European market as uneven. Escalating macroeconomic and geopolitical risks have forced investors to raise their standards for property quality.
Capital is now primarily directed toward real estate that provides a stable cash flow, has a transparent market value, and is located in segments with long-term structural demand.
One of the main beneficiaries of this new investment strategy has been so-called “living real estate.”
In the first half of 2026, multifamily rental housing, specialized student dormitories, senior living facilities, and housing for the elderly already accounted for 29% of all real estate investments in Europe.
Thus, nearly one in every three euros of institutional capital directed toward European real estate went to properties directly related to residential living.
The growing interest in this sector is linked to a housing shortage in many major European cities, rising rents, demographic changes, and relatively stable income streams compared to some traditional types of commercial real estate.
At the same time, investor attitudes toward office properties are shifting. High-quality, modern office buildings in central business districts remain in demand, while outdated and poorly located properties are significantly harder to sell or finance.
According to Savills, the market is effectively divided into two types of assets. In the first category, investors are willing to compete for high-quality properties with reliable tenants and predictable income. In the second, real estate with a poor location, high future costs, or uncertain demand may remain outside the scope of investment interest for a long time.
Savills notes that Europe remains an important destination for global capital, but investment requirements have become significantly stricter.
Markets where a significant price correction has already occurred and a clearer entry point for investors has emerged have the best chances of attracting capital. An additional advantage is the limited supply of new properties and stable demand from tenants.
“The recovery is taking place in stages and is driven by investor confidence in specific deals, rather than a general willingness to take risks,” note Savills analysts.
Thus, the European real estate market is gradually emerging from a period of sharp interest rate hikes and asset revaluation; however, the new investment cycle differs significantly from the previous one. Capital is increasingly being directed not simply toward real estate as an asset class, but toward specific segments with the most predictable long-term demand.
Source: Savills, Global Capital Markets Research Q2 2026 — Europe.
The 2026 fire season in Europe has become one of the most difficult in terms of the geographical spread of fires and the scale of their consequences, with Ukraine ranking among the continent’s most affected countries, the Experts Club information and analytical center reports, citing data from the Global Wildfire Information System (GWIS), the European Forest Fire Information System (EFFIS) and other European bodies.
As of August 31, the area affected by fire in Ukraine was estimated by GWIS at 413.1 thousand hectares, or about 0.69% of the country’s territory. If the Russian Federation is not included in the direct comparison, as the system also takes into account the vast territories of Siberia and the Far East, Ukraine ranks first among the countries of geographical Europe in terms of the absolute area affected by fires.
It is followed by Spain — 242.1 thousand hectares, Italy — 118.3 thousand hectares, France — 105.1 thousand hectares, and Portugal — 60.5 thousand hectares.
In Ukraine, fire statistics have an additional specific feature due to the war. Satellite systems record the territory affected by fire but do not determine its cause. Therefore, alongside heat, drought, careless handling of fire and arson, shelling, explosions and fires along the front line may also play a significant role.
The greatest burden relative to the size of the territory is recorded in the Balkans. In Montenegro, about 1.7% of the country’s territory has been affected by fire, in Bosnia and Herzegovina — more than 1%, and in North Macedonia — about 0.75%. Altogether, Montenegro, Bosnia and Herzegovina, North Macedonia, Albania and Serbia have about 142 thousand hectares of burned areas.
A separate feature of the season has been a sharp increase in fire activity in countries where large fires are traditionally less common. In Belgium, the area affected by fires has already exceeded the average for 2012–2025 by more than ten times, in the Netherlands — by approximately three times, in Austria — by 2.5 times, and in France — by almost 2.5 times.
In the EU itself, by August 30, 636.1 thousand hectares of burned areas had been recorded within 1,861 major fires. This is 36% less than in the record year of 2025, but more than twice the long-term average for the same period.
Office real estate regained the top spot among commercial real estate investment sectors in Central and Eastern Europe in the first half of 2026, according to data from Colliers.
Offices accounted for 29% of total investment in the CEE-6, up from 23% a year earlier. With a total market volume of EUR 5.8 billion, this corresponds to approximately EUR 1.7 billion in investments.
Retail real estate became the second-largest segment, with a 27% share, up from 21% in the first half of 2025.
Investor interest in residential and “living” properties grew even faster. Their combined share rose from 7% to 19%.
At the same time, industrial and logistics real estate—which was the largest market segment just a year ago—saw its share decline from 31% to 17%. This was due not only to changes in activity within the warehouse market itself but also to the rapid growth of transactions in other real estate classes.
Colliers notes that in the office segment, investors are primarily seeking modern buildings in prime locations with high energy efficiency and a stable stream of rental income.
The situation is becoming more challenging for outdated office buildings. They must either undergo modernization or be considered for repurposing.
Thus, the structure of the CEE market is gradually changing: after several years of logistics dominance, capital is once again flowing more actively into traditional offices and retail real estate, while institutional housing is emerging as a major investment segment in its own right.
Czech capital was one of the most active sources of investment in the Central and Eastern European real estate market in the first half of 2026, according to a Colliers study.
The total volume of investments by Czech investors in the region is estimated at approximately 1.9 billion euros. The presence of Czech capital was particularly noticeable in Poland, the largest investment market in Central and Eastern Europe.
Investors from the Czech Republic accounted for 23.6% of all investments in Polish commercial real estate from January through June. Germany accounted for about 19%, Polish capital for 11.5%, U.S. capital for 10.6%, and Hungarian capital for 6.8%.
The Czech Republic itself, meanwhile, remained the second-largest market in the CEE-6. In the first half of the year, deals totaling over 1.4 billion euros were concluded there. This is less than the record 2.2 billion euros for the same period in 2025; however, according to Colliers’ assessment, the market remains one of the most stable in the region.
Yields on premium office properties in Prague are estimated at approximately 5.25%, on prime warehouse facilities at around 5%, and on shopping centers at around 6%. These are among the lowest capitalization rates among the largest markets in Central Europe, reflecting investors’ relatively high valuation of Czech assets.
The activity of Czech capital in neighboring countries is part of a broader trend. Colliers notes that in the Central and Eastern European (CEE) markets, the influence of not only global funds from the U.S. and Western Europe but also investors from Central Europe itself is growing.
This is gradually fostering the development of a distinct regional investment capital capable of sustaining transactions even during periods when major international funds adopt a more cautious approach toward the region.
Investments in commercial real estate across the six largest markets of Central and Eastern Europe reached EUR5.8 billion in the first half of 2026, increasing by approximately 7% compared with the same period last year, according to the Colliers CEE Investment Scene H1 2026 report.
The study covers Poland, the Czech Republic, Hungary, Romania, Slovakia and Bulgaria. The investment volume was above the average for the first halves of the past five years, which amounted to EUR4.6 billion, and above the ten-year average level of EUR5.1 billion.
Poland became the largest market, where the volume of transactions exceeded EUR3 billion. It accounted for around 52% of all CEE-6 investments. The Czech Republic ranked second with more than EUR1.4 billion, while Hungary attracted almost EUR600 million, showing the best first-half result since 2021.
According to Colliers, the market recovery differs from previous investment cycles. Capital is returning selectively, with investors giving preference to properties with stable income, good locations, high energy efficiency and long-term demand from tenants.
Offices became the largest segment, followed by retail real estate, residential properties and institutional rental, as well as industrial and logistics real estate.
Colliers forecasts that by the end of 2026, the volume of investments in CEE-6 commercial real estate may reach EUR12.5-13 billion, compared with EUR11.6 billion in 2025, and approach the peak levels observed before the pandemic.
Among the main risks for the market, experts cite high interest rates, rising refinancing costs, geopolitical tensions, weakness in German industry and energy costs. At the same time, additional investment opportunities are being created by infrastructure projects, the defense industry, the energy transition, artificial intelligence, reindustrialization and the relocation of production closer to European consumers.
Colliers is a global professional services and investment management company operating in more than 70 countries. Its annual revenue amounts to around $6 billion, its workforce totals around 28,000 people, and assets under management amount to approximately $110 billion.
BUSINESS, COLLIERS, EUROPE, EXPERTS CLUB, INVESTMENTS, REAL ESTATE
Oil refining capacity in Europe and the U.S. will decline over the next decade, while it will continue to grow in the Middle East, Africa, and Asia, according to forecasts by S&P Global Energy experts.
Western governments are urging companies to expand refinery capacity to ensure uninterrupted supplies of critical resources during future crises, but investors are reluctant to fund new projects, which will create problems in the future—both in Europe and North America, the Financial Times reports.
This year, refineries in the U.S. and Europe are operating near full capacity as the industry struggles to cope with shortages caused by the war in the Middle East, and they are generating high profits.
According to a forecast by S&P Global Energy, European refinery capacity will decline by 20% over the next ten years through 2035, to a level slightly above 9 million barrels per day (bpd). Last year, facilities with a combined refining capacity of about 500,000 b/d were shut down in Europe, and the United Kingdom, for example, lost two of its six refineries.
S&P Global Energy also expects U.S. capacity to decline by 7% over this period, to 16.7 million bpd.
The energy crisis caused by the war in the Middle East has not altered the industry’s trajectory, notes Daniel Evans, who is responsible for the oil refining market at S&P Global.
“Recent supply disruptions have forced a reassessment of the strategic importance of the refining industry in the West. But does this change the long-term fundamentals? I would say most likely not,” he noted.
Unlike in North America and Europe, companies in China, the Middle East, India, and Africa have built large, new, and highly competitive refineries.
