Commercial real estate in Slovakia: market overview
At the end of 2024, commercial real estate in Slovakia showed positive dynamics. In the third quarter of the last period, it became known that new brands entered the market. Analysts expect activity in this sector to continue in 2025.
Retail sector overview
The retail segment is showing positive trends, supported by the realisation of a number of major projects:
– Klokan shopping centre with an area of 3,700 m2 in the Piešťany resort area;
– expansion of the Aupark shopping centre in Bratislava: its area increased by 10 thousand sqm;
– shopping centres with a total area of 35 thousand square metres are under construction;
– about 80 thousand square metres of retail facilities should be built within 2-3 years.
The first Biedronka shops opened in Slovakia at the end of 2024. They are in Levica, Senica and other cities in the country. In the third quarter of 2024, a store of the Polish brand Hebe opened in Bratislava. It occupies an area of 700 square metres and is in the Eurovea residential complex. At the end of the year, another Hebe store opened in the eastern part of the country. The first store of another Polish company, Ochnik, is located in OC Laugaricio.
Significant changes occurred in the Slovak market. The Datart online technology shop underwent a rebranding and now operates under the Nay brand. A café from the Austrian Aïda chain opened in the Nivy shopping and office building in the Slovak capital. In the renovated Aupark, a café from the British brand EL&N London welcomes visitors.
Increased demand for retail parks has contributed to a rise in rents. Last year, monthly rents rose by 15% to 11.5 euros per square metre. At the same time, prime shopping centre rents have remained at EUR 65 per square metre, while the yield on these properties has remained at around 6.5% per annum.
Trends in the office real estate in Slovakia
The number of office vacancies has fallen for three quarters in a row. Their share is around 13.2% of the total. A further reduction is expected. Tenants’ main interest focuses on A and A+ class premises, but the volume of available supply remains limited. The situation will not change dramatically until the fourth quarter of 2025, as no significant new projects are coming onto the market. In the third quarter of 2024, for example, only one property – the Podhradie campus, which is a class A property – will be put into operation. The building, with a total area of 2,600 sqm, was 90% leased at the final stage of construction.
Commercial property sales amounted to 28 thousand square metres in the third quarter of 2024, which is lower than the previous five years’ results. Nevertheless, by the end of 2024, the total volume of space in this segment will increase by about 220 thousand square metres, which is in line with previous years’ trends.