According to Experts.news, residential real estate and institutional leasing became one of the fastest-growing segments of the Central and Eastern European investment market in the first half of 2026.
The residential/living segment accounted for 19% of investments in commercial real estate in the CEE-6, compared to just 7% a year earlier, according to Colliers data.
Thus, its share nearly tripled in less than a year and approached the levels of the traditionally largest real estate classes—offices and retail properties.
One of the most telling examples was Poland, where the largest transaction in the history of the local PRS (institutional rental housing) market took place in the first half of the year.
Vantage Development acquired 18 completed Resi4Rent projects for 575 million euros. The portfolio includes 5,322 apartments in Warsaw, Kraków, Wrocław, Gdańsk, Łódź, and Poznań.
This transaction reflects growing interest among large investors in residential properties intended not for the resale of individual apartments, but for long-term professional leasing of entire portfolios.
This model is widespread in Western Europe, but in Central and Eastern Europe, the institutional rental market is much younger and has more room for growth.
Interest in the segment is driven by urbanization, high housing purchase costs, labor mobility, and growing demand for professionally managed rental housing in the region’s largest cities.
According to Colliers, with total investment in the CEE-6 region amounting to 5.8 billion euros, the market is gradually becoming more diversified, and residential/living has already become one of the top four investment sectors.
The Romanian commercial real estate market attracted approximately 300 million euros in investment in the first half of 2026, compared to about 400 million euros during the same period last year, according to the Colliers CEE Investment Scene H1 2026 report.
Romania accounted for 5.4% of total CEE-6 investment volume, despite the fact that the country accounts for about 18% of the aggregate GDP of the six economies under review. According to Colliers, this indicates significant potential for further growth in the Romanian investment market.
Offices accounted for about 60% of Romania’s investment volume in the first half of the year, marking the highest share for this segment since 2022.
However, the market structure may shift in the second half of the year due to large transactions in retail and other real estate sectors.
Romania continues to offer higher yields than many more mature markets in Central Europe. In Bucharest, the prime yield stands at about 7.5% for offices, 7.75% for industrial and logistics properties, and 7.25% for shopping centers.
By comparison, yields on high-quality properties in Warsaw, Prague, and other more liquid capitals in the region are at lower levels.
Colliers notes that the decline in transaction volume in the first half of the year does not necessarily indicate a deterioration in the market’s fundamentals. A number of large transactions were in the final stages of completion after the end of June.
In particular, the sale of the MAS retail real estate portfolio to AFI Europe was completed in the third quarter. If the deals currently in progress are finalized, Romania’s total investment volume for 2026 could approach 1 billion euros.
This would be only the second year since 2007 that the Romanian market has reached this level, notes Robert Miklo, Head of Capital Markets at Colliers Romania.
Colliers operates in more than 70 countries, employs approximately 28,000 professionals, and has roughly $110 billion in assets under management.
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
The housing crisis in Spain continues to deepen amid a long-standing shortage of new construction, a rise in the number of households, and a record increase in population—a significant portion of which is due to migration. The structural housing shortage in the country is estimated at approximately 700,000–750,000 units, according to data from the Funcas analytical center.
The current situation should not be compared to the housing bubble of the 2000s. At that time, significantly more housing was being built in Spain, and market growth was fueled by lending. Now the problem is the opposite—supply consistently lags behind demand.
In recent years, approximately 100,000 new homes have been completed annually in Spain, while about 230,000 new households have been formed. The gap that has accumulated since 2020 has reached nearly 700,000 units.
As a result, both home purchase prices and rental rates are rising. The problem is particularly acute in Madrid, Barcelona, the Balearic Islands, Valencia, and popular coastal areas. At the same time, the shortage is gradually spreading from the largest cities to their suburbs and medium-sized cities. Funcas notes that rents have been rising faster than wages in recent years, and young renters spend an average of about 35% of their budget on housing and utilities.
Experts believe that some of the measures taken by the authorities can only temporarily curb prices but cannot eliminate the root cause of the crisis. Rent controls may lower housing costs for some current tenants, but at the same time reduce the number of apartments that landlords are willing to put on the market. Subsidies for buyers, given limited supply, may also lead to further price increases.
Among the long-term solutions, Funcas cites increasing the supply of land parcels, expediting the issuance of building permits, enhancing legal certainty for developers and property owners, and expanding the stock of affordable rental housing. Social rental housing in Spain accounts for only about 2–3% of the housing stock, which is significantly below the EU average.
Spain’s rapid population growth is placing additional pressure on the market. As of July 1, 2026, the country’s population stood at a record 49.80 million, an increase of 444,200 from the previous year. At the same time, Spain’s National Institute of Statistics (INE) explicitly states that the population increase is driven by people born abroad, while the number of residents born in Spain is declining.
The number of residents in Spain born abroad reached 10.29 million by mid-year, accounting for more than one-fifth of the country’s population. The number of residents with foreign citizenship stood at 7.44 million, having increased by 87,200 in the second quarter alone.
According to the latest comprehensive breakdown from the INE, the largest foreign communities consist of citizens of Morocco—about 969,000,
Colombia—677,000, Romania—609,000, Venezuela—378,000, Italy—346,000, and the United Kingdom—266,000. There are also significant communities of people from Peru, China, Ukraine, and Latin American countries.
The influx continues in 2026. In the second quarter alone, approximately 34,000 Colombian citizens, 23,300 Venezuelans, and 21,100 Moroccans arrived in Spain. In the first quarter, Ukrainians were among the largest groups of new arrivals—about 25,700 people.
Separate statistics from Spain’s Ministry of Migration show that as of the end of June 2026, 353,000 Ukrainian citizens already held valid residence permits, mainly thanks to the temporary protection mechanism.
The growth of the foreign population cannot be considered the sole cause of the housing crisis; experts attribute it primarily to a decade of insufficient construction. However, migration significantly increases the number of households and the demand for rentals, especially in large cities and economically active coastal regions. Given the construction of approximately 100,000 units per year, the additional population growth of hundreds of thousands of people becomes a significant factor in the further rise in housing costs.
Thus, the housing crisis in Spain is driven by several factors: a chronic shortage of new construction, an increase in the number of households, a limited supply of affordable rental housing, internal migration to major cities, foreign buyers, and the tourism sector. Rapid population growth due to immigration exacerbates the existing shortage, but is not its root cause.
