Commercial Property in Krakow 

Krakow’s office space amounts to a total of some 900,000 square meters but just a third of it – some 310,000 sq. m. is situated in modern buildings of high standard. But as much as 150,000 sq. m. of new A-class office floor can be added in 2010. Even as the overall vacancy rate still hovers around 3 percent mark, the days of massive demand for high-quality office floor area may be soon over despite influx of back office operations of foreign companies including multinationals.  

Monthly rents, inclusive of service charges, range from ten euros per square meter at the lower end of the market to euro 25 per sq. m. in the downtown top class-A office block.

Average yields on investment in new office space exceed ten percent.

Quality mercantile facilities at Krakow’s Old Town’s busiest street, Florianska, and at the city’s central Rynek Glowny square rank among Poland’s priciest. Renting a ground-floor shop here costs euro 70-90 a month per square meter. Cellars or upper floors as well as courtyard locations are both less expensive and more readily available. At the same time other main streets in the historical district – Grodzka, Szewska, Sienna, Slawkowska – prove slightly cheaper, while some side-streets sites may turn out fairly affordable.

Since mid-1990s shopping centers mushroomed in Krakow, with their biggest concentration in the area halfway between the Old Town and the Nowa Huta district. At the same time two big shopping malls, the 60,000-sq-meter Galeria Krakowska and the 36,000-sq-meter Galeria Kazimierz enjoy a central location. Notably the former, completed in September 2006 as the first part of the ambitious New City project, is strategically situated since it adjoins Krakow’s focal Old Town historic district and abuts on the central train station adjacent to the city’s main bus depot. 

Total floor area of Krakow’s modern retail facilities amount to roughly 423,600 sq. Monthly shopping-mall rents average euro 30 per square meter plus service charges to the tune of about 4.5 euro per sq. meter but vacancies are scarce. 

Median yields on investment in Krakow’s new retail space hover around ten percent.