Land in Warsaw for multi-family housing development in 2020

Land in Warsaw for multi-family housing development: a summary for 2020

According to INWI 50% more transactions were recorded in the capital compared to the same period in 2019, while the value of the Warsaw land market, measured by the total value of land transactions, increased by 22% year-on-year.

According to INWI’s analysis, last year ended with land turnover in Warsaw at the level of one million square metres, which will allow for the development of around 25,000 new flats. The average price of land in Warsaw was at the level of PLN 1,600 per square metre. In terms of PUM, the prices for land oscillated around PLN 1400 per square metre of PUM. It is worth mentioning that in prestigious locations such as Śródmieście, Żoliborz, Saska Kępa or Stary Mokotów, the number of transactions was much lower, which made prices per PUM 2-3 times higher than the average value. Compared to 2018 and 2019, there was a slight increase in the prices of residential land in Warsaw.

– After the first months of 2021, we see a sustained stable pace in the number of transactions and average prices of contracted land. Further situation on the land market, including prices and the number of transactions will depend on the demand for flats and increases or decreases in their prices, explains Mariusz Urbański, Development Manager at INWI. Invariably, the largest developers on the market replenish their land banks, which shrank sharply in 2017-2020. On the example of selected neighborhoods and the MSI (Municipal Information System), we can see which areas of the city currently enjoy the greatest interest among developers, INWI experts comment on the situation.