Investment in the Baltic real estate market will reach the €1 billion mark again this year

Despite the challenges facing the Baltic market, investment in real estate in the Baltic region could reach at least €1 billion in 2019 as well. This is a good and stable indicator for the region, but it is certainly not its maximum capacity. 

Market volume is constrained by liquidity and the quality of supply, and is also affected by recent changes in bank financing conditions and rising construction costs. In these circumstances, alternative forms of financing and the factors influencing the market’s ability to provide investors with an appealing product will be an important topic at the BREL forum on 8 November. The forum will bring together influential industry professionals from the Baltic Sea region, Western Europe and North America in Riga for the eighth time.

In recent years, international investors have shown increased interest in the Baltic region, particularly those already active in the CEE region. One example is the recent transaction in Vilnius, in which DEKA Immobilien acquired the Quadrum office centre for €156 million. The transaction demonstrates that global market players value not only the Baltic region’s ability to provide a healthy balance between property quality, market risks and returns, but also highlights the standard of property to strive for in order to improve market activity and liquidity.

Investment and attracting investment will be the focus of this year’s BREL forum. Eastnine CEO Ķestutis Sasnausks (Kestutis Sasnauskas) will speak about proven real estate investment strategies, while the factors behind successful real estate project development and the financing market in the Baltics will be discussed, along with a debate on the impact of construction companies on the real estate industry. The forum will also address urban sustainability, the use of modern technologies in the construction and operation of real estate, and urban development strategies. Gensler Managing Director and Consulting Design Director Kirsten Ritchie (Kirsten Ritchie) will talk about building smart, health-friendly buildings of the future today; Spacescape CEO Alexander Stahle (Alexander Stahle) will introduce the values of the future urban environment in Northern Europe, while Colliers San Francisco Vice President of Retail Services Ann Natunewicz (Ann Natunewicz) will analyse the next generation of consumers; WeWork Director of Real Estate Management Salman Saeed (Salman Saeed) will examine tenants’ requirements; and Empathic Building founder Tomi Teikko (Tomi Teikko) will address one of the most globally relevant topics today: how the digital world is changing the real estate business.