- The inflation rate reached 2.1% in June this year, which is the lowest in the last three years
- People paid the most in the restaurant and hotel sector, but also in transport, education and healthcare
- Visits to shopping centers show a positive trend, increasing by 6% year-on-year, and CBRE also recorded a decrease in vacant commercial space in its portfolio
- Prime rents in the best shopping center zones range from €70 to €90 per m2
- The total area of shopping centers in our territory is 1,653,000 m2. For retail parks, it is 720,000 m2, while another 52,000 m2 should be completed by the end of this year
The inflation rate is at the lowest figures in 3 years
Slovakia, like other European countries, has been troubled by high inflation in recent years, which affected the purchasing behavior of Slovaks. However, it has stabilized recently, since March its year-on-year rate has been around 2%. In June, as in April, it reached the level of 2.1%. "This is the lowest value that has been recorded in the last three years," explains Peter Slovák, Research Manager of CBRE Slovakia.
Peter Slovák Research Manager, CBRE Slovensko
"However, prices were still higher year-on-year in 11 out of 12 expenditure groups of households. On average, only goods and services in the field of culture and recreation were cheaper than last year. On the contrary, year-on-year higher prices in the restaurant and hotel sector, but also in transport, education, healthcare, and in the area of alcoholic beverages and tobacco, had the most significant impact on the value of inflation."
People go to shopping centers in large numbers, their vacancy has decreased
This situation also favors the retail industry. The number of visitors to shopping centers in the first half of 2024 increased by 6% year-on-year, and in April, it even rose by 11%. "This also had an impact on the vacancy rate of retail spaces. CBRE's monitored sample of shopping centers reached the lowest vacancy rate since 2021. The year-on-year decrease was approximately 2.5% and is expected to drop even more significantly towards the end of this year," explained Tomáš Lörincz, director of the retail real estate leasing department at CBRE Slovakia .
Renters' incomes also grew, albeit more modestly than at the beginning of the year. Their year-on-year turnover was thus almost 4% higher in the first half of 2024 compared to the same period a year ago. Prime rents in the best shopping center zones range from €70 to €90 per m2.
Currently, the total area of shopping centers in our territory is 1,653,000 m2 (of which 568,000 m2 is in the capital city), for retail parks it is 720,000 m2.
Tomáš Lörincz Head of A&T Retail, CBRE Slovakia
"If we look at the construction of new retail spaces, retail parks are currently dominating. In Slovakia, approximately 52,000 m2 of such premises should be added by the end of this year alone. Projects are currently being built all over the country, with the average leasable area of one project being approximately 5,000 m2."
Do you need an ideal commercial space for your business? View our wide range of available commercial spaces or contact our experts directly.
