Poland’s commercial real estate market recorded stable performance in the first half of 2025, maintaining investment volumes on par with the same period last year. According to Avison Young’s latest market report, the total investment volume reached approximately €1.7 billion, spanning 63 transactions across all major asset classes. The industrial sector dominated the landscape, drawing the largest share of capital and registering the most high-profile transaction of the period. The report highlights a shift in the profile of active investors. Institutional players remain cautious, constrained by falling asset valuations and global economic uncertainties. In contrast, private and domestic capital has become more prominent, with Polish investors contributing 14% of total volume and executing deals averaging €13 million. This trend is particularly notable in the residential and office segments. The industrial and logistics sector continued its strong momentum, accounting for 40% of overall investment volume and setting a new benchmark for large-scale deals in the region. The most significant transaction was the €253 million sale and leaseback of two logistics facilities by window manufacturer Eko-Okna to U.S.-based REIT Realty Income Corporation—the largest such deal ever recorded in Central and Eastern Europe. Despite this standout transaction, the remaining 11 industrial deals all remained below the €80 million mark. Three portfolio deals were also closed during the period. Overall, the sector’s year-on-year performance nearly doubled, underscoring its status as a key engine of growth in Poland’s property market. In the office market, investor activity remained selective but consistent, with a total investment volume of €411 million across 23 transactions. More than half of this activity occurred outside of Warsaw, reflecting growing interest in regional office markets. Polish investors were responsible for over one-third of the capital deployed in the office segment. While core capital remained relatively subdued, there was increased interest in value-add and core-plus opportunities, particularly in locations where pricing expectations between buyers and sellers have converged. Among the notable core deals were Wronia 31 and Plac Zamkowy in Warsaw, as well as High5ive I&II in Kraków. Retail investments totalled €322 million across 20 deals in the first half of the year. Retail parks and convenience centres proved the most attractive to investors, representing 59% of the retail volume. The Czech-based investor My Park made its debut in the Polish market with the acquisition of the 10-asset A Centrum portfolio. Redevelopment activity also played a significant role, with the sale of Arkady Wrocławskie to Vastint and CH Glinki in Bydgoszcz to Redkom Development. Avison Young represented the sell-side in both transactions. The residential sector, particularly private rented sector (PRS) investments, saw a total volume of €223 million. Of this, €150 million was focused on three PRS projects in Warsaw, with AFI Europe closing two deals and Syrena RE acquiring one asset from Xior Student Housing. In Gdańsk, NREP completed three co-living acquisitions, supported by advisory services from Avison Young. The PRS segment continues to consolidate, with the majority of existing stock held by Resi4Rent, Vantage Rent, and Fundusz Mieszkań na Wynajem. Resi4Rent also leads in terms of pipeline development. Looking ahead to the second half of 2025, Avison Young notes that current market conditions remain favourable for buyers. With interest rate cuts on the horizon, yields are expected to compress, making this a potentially opportune time to invest. Mid-cap investors are expected to remain active across all asset classes, while core capital may return more assertively once broader economic stability is restored.