Ober-Haus Real Estate Annual Market Report 2013 Poland

Cracow – Office marketNew ProjectsTo lease space in these or other properties, callOber-Haus on +48 12 428 17 00Consultronix – A-class office of a total spaceof 8,000 sqm located just next to Krakow Airport inBalice. Completion planned for 2014. Main tenant isConsultronix – investor of the project.Alma Tower – realized by Alma Development - A-classoffice of 6,000 sqm leasable space located by PilotówStreet in Olsza district. The construction in progressand more than 50% space is already let by AlmaMarket. Completion planned for 2014.Armatower – realized by Armatura Kraków S.A. - A-class office of 6,000 sqm space located by Zakopiańska72 close to Retail Park “Zakopianka”. Completionplanned for Q2 2014.Orange Office Park – realized by East-WestDevelopment Office - A-class office of 25,230 sqmlocated by Klimeckiego Street in Zabłocie district.Completion planned for 2014.Kapelanka 42 – developed by Skanska Property -modern office complex of total 30,000 sqm locatednext to TESCO by Kapelanka Street. First stageof 12,250 sqm will be completed in 2014.DemandKrakow is a well known outsourcing center and itspopularity is growing – especially among foreigninvestors. That is why the increasing demand ledthe vacancy rate to drop further to 5.8% bythe beginning of 2013.RentsIn the beginning of 2013 A class office asking rents areEUR 14.00 - 15.50, while effective ones EUR 12 – 13.The B class rents in denominated in PLN and amountto 39 - 45. Maintenance costs range from EUR 3to 4 per sqm. The average A class office investmentyield is 6.6%11