Institutional investments in the Polish PRS 2018/2019

18. September 2018 | Reading Time: 2 Min

Institutional Rental Sector of Residential Market Awaits Investments

Only 1% of the Polish residential rental market is of institutionalized nature. The growth potential in this segment is huge, especially in the area of apartment rental.

Is Poland a phenomenon against the backdrop of Europe? Yes. According to a REAS report, the institutional rental ratio in Germany is 12%, whereas in the UK it is 5%. The student housing for rent market offers outstanding investment prospects. This is the result of the constantly growing pool of tenants in cities playing the role of academic centers. Foreign students starting their education in Polish universities have become an important part of that group. They have financial resources at their disposal and expect premises for rent at a level similar to that found in the West.

“Private rental, especially in large agglomerations, is not enough nowadays. There is a growing need for the expansion of professional services in this respect, which can ensure proper quality and scale. Only then will it be possible to meet market demands, build investment portfolios and guarantee liquidity of this market sector,” said Małgorzata Dankowska, tax advisor, Partner, TPA Poland.

“Current and potential participants in the Polish housing rental market expect current knowledge in this area of business. Of particular importance is information on the current market situation and future prospects as well as legal solutions – including tax solutions – that determine the level of activity in this sector. TPA Poland’s experts, in cooperation with REAS, have decided to meet these expectations by publishing another edition of the report on institutional investments in the Polish private rented sector,” said Paulina Nawrat, tax advisor, Manager at TPA Poland.

If you are considering investing in the rental market, the Report will provide you with answers to the following questions:

  • How should the a project be structured?
  • What to invest in to make the transaction profitable?
  • Which destinations are the most prospective?
  • Will the new investment forms under the REIT concept activate an additional pool of funds for PRS?
  • Can frequent changes in the law inhibit investment projects?
  • Which tax solutions need to be paid attention to?

Download the Report