Positive trends have been noticed in Estonian and Lithuanian industrial and warehouse markets. However, Latvia is experiencing slower growth in sector’s investment transactions.
Industrial and warehouse sector has reached to slight increase phase, nevertheless, rapid increase in demand towards newly built premises is not foreseen, as the number of companies willing to pay the rent level in line with developers’ expectations is limited.
No changes have been observed in rental rates. This trend most probably will remain unchanged during H2 2012.
Vacancy levels slightly decreased during H1 2012 and will continue a gradual fall in H2 2012.
After the economic downturn no new speculative projects have been developed. Baltic Stare industrial and warehouse property market is mainly concentrated on the development for own use. Further developments will depend on how much demand for exports will decrease. Developers and investors are still very cautious however some activity has been noticed in Estonia.