The development market will be driven by the logistics and industrial segment, where projects to be completed amount to over 830,000 sqm, respectively 68% of the total. Modern industrial stock will reach 5.29 million sqm by the end of 2020.
Around 650,000 sqm of modern industrial and logistics projects were delivered countywide in 2019, taking industrial stock to over 4.46 million sqm, the report notes.
“2020 reconfirms the interest of real estate developers and potential tenants for new projects, both for industrial parks and offices and shopping centers. Important deliveries announced for 2020 meet the high demand and thus contribute to the creation of healthy growth, which will be in the benefit of all the market players,” said Alexandru David, research analyst at JLL Romania.
Bucharest office stock by 282,600 sqm to almost 3 million sqm in 2019 and 205,000 sqm are expected to be delivered in 2020.
Major office deliveries expected in 2020 are Ana Tower in the North – Expozitiei sub-market, the third phase of Globalworth Campus, in Dimitrie Pompeiu sub-market, Globalworth Square and One United Tower, in Floreasca – Barbu Vacarescu. Combined, they will add 116,000 sqm to the modern stock.
On the retail market, 172,200 sqm were delivered in major retail schemes in Romania in 2019, almost 84% of which were in secondary cities, bringing the total stock in Romania to almost 3.38 million sqm.
The delivery of at least 180,000sqm of retail space is expected in 2020, raising the stock to 3.56 million sqm countrywide. Only 12.4% of all deliveries will be in Bucharest.
The largest new retail project, expected to be opened by the end of 2020 is AFI Palace Brasov. The 45,000 sqm shopping center is being developed by AFI Europe, who also owns two other major schemes in Romania, AFI Palace Cotroceni in Bucharest and AFI Palace Ploiesti.
Another large project, Shopping City Targu Mures, will be delivered by NEPI Rockcastle during the first half of 2020, adding 41,300 sqm of lettable retail space to the stock. A 33,000 sqm shopping centre, Dambovita Mall, is expected to be delivered by Prime Kapital during the second quarter of 2020 in Targoviste.
In Bucharest, 2020 will bring the opening of the extension of Colloseum retail park with Colloseum Mall in Bucurestii Noi, adding 16,500 sqm of lettable area to the stock during the first quarter of the year. The 6,000 sqm extension of Veranda Mall in Bucharest is also expected in the first quarter.