With regional GDP growth averaging 2.5% and inflation declining to 4.4% in 2025, several markets saw renewed investor confidence. However, the report notes that geopolitics and fiscal constraints remain key risks for 2026.
The report highlights limited new office deliveries, accelerated modernization and conversion of older buildings, and a pipeline of retail parks supported by strong high-street development in the Czech Republic and Romania. Industrial and logistics remained the most active sector, with record demand in Romania and major Asian investments reshaping Hungary's and Slovakia's markets. Poland led in institutional rental housing, while Bulgaria benefited from Schengen integration and euro adoption preparations.
Looking to 2026, Colliers forecasts a continued office supply gap in Poland and Slovakia, rent pressure in prime locations and a return-to-office trend in Bulgaria. Retail parks are set to evolve into multifunctional formats and expand into smaller cities, while logistics demand will remain strong in most CEE countries, especially the Czech Republic and Hungary. Residential markets will see further growth in Poland's BTR and PBSA sectors, along with rising housing prices in Romania and Hungary.
Technology and sustainability will become standard features of new developments, driven by AI, automation and smart energy systems. Meanwhile, geopolitical uncertainty, labour shortages and high costs will continue to challenge project execution.
