Mipim 2015 news 4

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DAY

Friday 13 March 2015

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REGENERATION

Let the celebrations begin

Marseille seeks XXL development bids P7

ITALY

Minister signals investor-friendly policy shift P12

ROUNDUP

Digital is the market buzzword P19

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CONTENTS AWARDS 4 The winners of the 2015 MIPIM Awards are revealed. The winners in the various categories were identified by combining the votes from the Awards Panel of Judges — headed by Barbara Knoflach CEO of SEB Asset Management — with the votes of delegates cast during the week.

It was a good year for the Awards. The competition generated record numbers this year with entrants from 22 countries. Canada, Australia, Saudi Arabia, Argentina, Indonesia and Senegal were first-timers.

France and the UK had the most entries, with four projects from each country.

NEWS

THIS WEEK AT MIPIM

10 Changing the way we live French designer Ora Ito discusses student housing and a new way of thinking for real estate

19 Digital and Hotel market roundups Digital innovations are improving the way real estate business is done while the hotel sector shows strong returns

12 Italy gets back to essentials Government minister Carlo Calenda promises to build on the renewed interest in Italian real estate and open up to globalisation

21 Healthcare and US market roundups Healthcare is proving attractive to investors as they increase their exposure to alternative property asset classes while capitals flows in and out of the US are on the rise

NOT TO BE MISSED 10.00-11.00 GREEN ROOM n PANEL

MIPIM WRAP UP Co-organiser: Wisconsin School of Business

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11.00-12.00 GREEN ROOM n PANEL

BIG & OPEN DATA : THE IMPACT ON THE PROPERTY MARKET CROWDSOURCED SESSION WINNER 2

The official MIPIM daily newspaper Friday 13 March 2015

Director of Publications Paul Zilk Director of Communication Mike Williams

The MIPIM News team is located in the Palais des Festivals/Level 5 Editorial contact : mipimeditor@gmail.com

EDITORIAL DEPARTMENT Editor in Chief Graham Parker News Editor Doug Morrison Proof Reader Debbie Lincoln Reporters Ben Cooper, Mark Faithfull, Steve McCormack, Mark Moore, Liz Morrell, Paul Strohm Sub Editors Clive Bull, Julian Newby, Joanna Stephens Technical Editor in Chief Herve Traisnel Deputy Technical Editor in Chief Frederic Beauseigneur Graphic Designers Muriel Betrancourt, Nour Ezzedeen, Carole Peres Head of Photographers Yann Coatsaliou / 360 Media Photographers Christian Alminana, Olivier Houeix, Phyrass Haidar, Michel Johner, Yohann Mortier Editorial Management Boutique Editions PRODUCTION DEPARTMENT Publishing Director Martin Screpel Publishing Manager Amrane Lamiri Production Assistant Eric Laurent Reed MIDEM, a joint stock company (SAS), with a capital of €310.000, 662 003 557 R.C.S. NANTERRE, having offices located at 27-33 Quai Alphonse Le Gallo - 92100 BOULOGNE-BILLANCOURT (FRANCE), VAT number FR91 662 003 557. Contents © 2015, Reed MIDEM Market Publications. Publication registered 1st quarter 2015.

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AWARDS Best Hotel & Tourism Resort Sponsored by

Center Parcs Woburn Forest Bedfordshire, United Kingdom Architect: Holder Mathias Developer: Center Parcs Other: WTI, Schletterer, Edmond Shipway, PBA

Best Industrial & Logistics Development

Würth Svenska AB Örebro, Sweden Architect: White Developer: Würth Svenska AB

Best Innovative Green Building

One Central Park Sydney, Australia Architect: Ateliers Jean Nouvel Developer: Frasers Property Australia, Sekisui House Australia Other: PTW Architects

Best Office & Business Development Selcuk Ecza HQ Istanbul, Turkey Architect: Tabanlioglu Architects: Melkan Gürsel & Murat Tabanlioglu Developer: Selcuk Ecza Holding

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Best Refurbished Building Dreischeibenhaus Dusseldorf, Germany Investor/Developer: MOMENI Group Developer: MOMENI Projektentwicklung GmbH Architect: HPP Hentrich – Petschnigg & Partner GmbH + Co. KG Other: Black Horse Investments GmbH (JointVenture Partner)

Best Residential Development Krøyers Plads I Copenhagen, Denmark Architect: Vilhelm Lauritzen Architects & COBE Architects Developer: NCC Bolig A/S

Best Shopping Centre Markthal Rotterdam Rotterdam, The Netherlands Architect: MVRDV Developer: Provast Other: Corio (investor market floor), Vesteda (residential investor), Amo Coenen and Iris Roskam (artists art piece)

Best Urban Regeneration Project Boulevard Euromediterranée – Marseille’s new waterfront Marseille, France Architect: Ateliers Lion – Ilex – Kern et Associés Developer: Euromediterranée

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AWARDS Best Futura Project Cité musicale départementale de l’île Seguin Boulogne-Billancourt, France Architect: Shigeru Ban Architects Europe – Agence Jean de Gastines Architectes Developer: Bouygues Bâtiment Ile-de-France Other: OFI InfraVia – Sodexo – TF1

Best Futura Mega Project New North Zealand Hospital Hilleroed, Denmark Architect: Herzog & de Meuron, Vilhelm Lauritzen Architects Developer: The Project Organization «New North Zealand Hospital» Client: Capital Region of Denmark

Special Jury Award Queen Elizabeth Olympic Park London, United Kingdom Architect: Erect Architects with LUC landscape architect, James Corner Field Operations with Make Architects Developer: London Legacy Development Corporation Other: MACE, LDA Design with Hargreaves Associates, Atkins and Arup, Buro Four, BAM Nuttall, Balfour Beatty, Lagan, H. And J. Martin, ISG, Skanska and Buckingham

People’s Choice Award Oxygen Eco-tower Jakarta, Indonesia Architect: Progetto CMR Engineering Integrated Services S.r.l.

Developer/Client: Bimantra Citra Other: Tecnimont Civil Construction & Permasteelisa Group (project management), Cimolai (construction company), Peia Associati (support interior design concept)

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NEWS Marseille seeks development bids for Euromediterranee XXL project

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UROMEDITERRANEE

Urban Development Agency challenged developers on the Marseille Metropole stand on Thursday.

Development teams have until June to draw up proposals for a 20-ha sustainable, mixed-use project known as XXL which marks the start of the €250m second phase of Marseille’s transformational Euromediterranee project.

XXL is likely to take 10 years to build out and will provide about 280,000 sq m of floorspace including housing, offices, a food market and a flea market.

“We want to attract operators and developers with experience of this scale of development,” Francois Jalinot, managing director of Euromediterranee Urban Development Agency told MIPIM News. “It is an important part of the city,” he added.

The agency has already awarded one project, Allar, to Eiffage Construction. This project, which will be close to EDF’s

Euromediterranee’s Francois Jalinot (left) and Marseille Provence Metropole’s Guy Tessier invited developers to tender for the XXL project in Marseille

new regional headquarters in the city, will provide 60,000 sq m of mixed-use development, including offices, hotel, social housing, private housing and homes for the elderly. Work has already started and there will be a threeyear build period.

The first phase of Euromediterranee, marking the 20th anniversary of its inauguration this year, has transformed a 3-km stretch of the city’s waterfront with a mix of com-

mercial and residential property and infrastructure improvements.

Euromediterranee encompasses a 480-ha area and is the largest urban renewal project in southern Europe.

Jalinot said that Euromediterranee 2 would represent 20% of Marseille’s new housing stock in 10 years’ time. The private sector is an essential component because it represents 80% of the investment in Euromediterranee,” Jalinot added.

REAL ESTATE LOOKS TO CROWDFUNDING THE WORLD’s first real estate crowdfunding platform, which enables individual investment in real estate for as little as $100, is to launch its first project in the UK by the end of the year.

Fundrise co-founder Daniel Miller said that the company would be involved in a $30m urban mixed-use development in Notting Hill in London and would likely target Berlin next year.

Miller said crowdfunding was causing big changes in the industry ­­— especially enabling the funding of smaller projects often overlooked by big institutional corporations. “It’s becoming easier and more accepted as a form of capital raising,” Miller said.

The average person invests between $10,000 to $15,000.

SEGRO GOES EAST FORMER ABBA frontman Bjorn Ulveus spoke

at the Stockholm Region development stand, not to share songwriting tips, but as a property investor. Visiting the stand with European Commissioner Elzbieta Bienkowska, Ulveus said that it is good for a retired pop musician to have something else to do. Ulveus said that he

is concerned about the severe housing shortage in Sweden and fears that if the situation does not improve, there is a danger of losing educated and innovative young people to other cities such as Berlin. Ulveus and Bienkowska are inset in this picture of the MIPIM Stockholm Region stand gathering.

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INDUSTRIAL and logistics specialist Segro continues to spread eastwards, developing a strong presence in central Europe, in Poland and the Czech Republic.

Bozena Krawczyk is Segro’s investment director for central Europe. Having “visited MIPIM many times” she says it’s important to learn how to make the best use of the market. “You have to plan your time. It’s a learning curve.”

“But however you see it, MIPIM also acts as a business accelerator. I’m only here for a few days, but in that time I’ll have more meetings with the right people than in a number of weeks back in Warsaw.”

Lé

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NEWS

Mayor Klitschko opens door to new Ukraine investment

O Frasers Property Australia’s Lisa McCutchion

AWARD-WINNING SYDNEY SCHEME DEVELOPER Frasers Property Australia and partner Sekisui House are around halfway through completion of the AU$2bn (€1.45bn) regeneration of Central Park in Sydney, a mixed-use project with 235,000 sq m of residential, commercial and retail space on the former Carlton & United Brewery site.

Around 1,400 of a proposed 2,200 residential apartments have been completed and a further 900 student dwellings will be built over the next three years at the MIPIM 2015 Award-winning scheme.

Construction of the main park, roads and basements began in February 2010 and the first residents to the Jean Nouvel–designed One Central Park West tower moved in during May 2013.

Key to the concept is a huge vertical garden designed by Patrick Blanc, featuring over 35,000 plants across 1,100 sq m, with the largest membrane bioreactor in the world and is a “symbol of the green approach of the development”, Frasers Property Australia marketing director Lisa McCutchion said.

“Our site is less than a kilometre from the Sydney CBD, adjoins University of Notre Dame and UTS (University Of Technology Sydney), and is on the main route into the city, so its striking design is redefining this part of Sydney,” she added.

LEG Mistuque, chief executive of the Kiev Investment Agency, revealed details of the new culture that has created conditions for investment brought about by the ‘Revolution of Dignity’ that Ukrainians call the political upheaval of 2014.

“After the revolution in 2014, the new mayor (Vitaliy Klitschko) came in and threw out all the old oligarchy culture that used to prevail,” Mistuque told MIPIM News. “It’s also the first time the mayor of Kiev has come to MIPIM, and that makes a huge difference as well — especially when it’s a world-famous personality like Klitschko.”

Mistuque said the first task before any investment can be brought in to almost anywhere is “to make the place attractive to investors.

Not in the aesthetic sense but in the cultural and facilitation sense.

So that first task was to get rid of corruption. Then we had to make the regulatory framework much more transparent and consistent.

We had to show that Ukrainian

Oleg Mistuque, chief executive of the Kiev Investment Agency

systems now have integrity. We had to make it easy to invest in Kiev.”

Mistuque said the next part of the process was to undertake a “complete inventory of the municipal assets. Under the previous regime that was not easy because so much was hidden, not in the public realm. Now as a result of that we can actually make real proposals to potential investors.”

Whereas immediately after the Revolution only $60m (€57m) was invested in Kiev, Mistuque said that “10 times that will be invested this year”.

Mistuque is confident that with the oligarchic mentality and corruption banished, and new transparent and consistent planning and investment conditions in place, based on integrity, international investment will follow.

Central Europe dispels the myths INDUSTRIAL property in Central Europe is losing its reputation as being simply a low-cost manufacturing environment and is becoming better known as a destination for high-tech manufacturing, according to Jaroslav Kaizr, business director with Czech Republic-based developer CTP. Moderating the session Central Europe Industrial Property: From Low-cost Manufacturing To High-tech Industries, Kaizr said stereotypes that abound with respect to the region are gradually being dispelled.

“There is a stereotype that pictures cows in fields and no mod-

ern buildings which is not correct,” he said. “The labour force is often thought of as largely manual which is not true anymore, and Romania is portrayed as the land of Dracula. Just as it is not accurate to say that French workers are on strike all the time, that is not true either.”

There is still a gap between hourly wages in the Czech Republic though, which are about half that paid in the UK, making it a lower cost economy, but it is still the highest paid workforce in CEE. CTP CEO Remon Vos explained that when he came to CEE from the Netherlands in the 1990s it was as a manufac-

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CTP CEO Remon Vos

turer. The lack of suitable available property forced him to develop his own business space, thus CTP was born.

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TORONTO STRONG ECONOMY

1 Soundest banking system in the world for 7 consecutive years.

$157b One of North America’s most diverse economies.

(World Economic Forum)

toronto.ca/mipim

STAND #P1.E33

Toronto’s GDP of $157 billion accounts for 19% of Canada’s GDP.

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NEWS

France’s Ito has secret plans to improve the lives of students

Tongaat Hulett’s Sithembiso Mthembu and Thokozani Chili

DURBAN SCHEME IN HARMONY WITH NATURE TONGAAT Hulett is a South African agricultural and agri-processing business — primarily sugar and maize — with a land conversion and development arm.

“We’ve got a 20-year track record as a developer,” development executive Sithembiso Mthembu said.

“We have the advantage of being able to develop and convert the surplus land of our sister companies.”

The latest Tongaat Hulett development is DurbanSibaya in Kwazulu-Natal, 25 km outside Durban and 7 km from the recently opened King Shaka International Airport.

It provides for an inter-connected mixed-use, mostly upmarket residential development, maximising natural conditions, and being responsive to environmental sensitivities.

“The vision is for a compact urban development, enhancing sustainability by reducing the spatial footprint of the development, reinforcing the natural landscape with open space,” Mthembu said.

Sibaya comprises five development nodes across 750 ha, and includes the only remaining significant pristine coastal dune forest, outside the iSimangaliso Wetland Park, in KwaZuluNatal.

Mthembu said Tongaat Hulett is at MIPIM looking for a development partner or investors. “The planning is approved and all the necessary permits are in place. The development is ready to go.”

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RENCH designer Ora Ito was at MIPIM yesterday driving interest in his student housing project, alongside partners Crosslane and BBFD. Ito is working on a project in Toulouse and other areas to deliver a new concept in student housing.

Although quiet on the details — to avoid copycats — he said the the development will deliver new standards of living for the student market. “It’s about how we can help students to have a better life.

It’s about creating an environment where you have the choice to change — you can have more mobility and flexibility,” he said.

Ito, on his third return to the Cannes event, said MIPIM also gave him a great chance to catch up with other projects and people he is working with.

French designer Ora Ito said MIPIM was a “fantastic meeting point”

“It is a very important fair for architects, designers, and real estate because all the biggest countries and people are here,” he said.

“It’s all about having a global vision on what is going down in the world. There is a new way of thinking in the real estate business and it’s changing the way we live,” he said.

Ito said he planned to return with a bigger presence to MIPIM in 2016. “It’s a fantasitic meeting point and interesting to see all the brands. You have so many representatives and decision makers here,” he said. However he warned architects against embracing trends too fully. “Architects should not have trends. Architecture should be something that stays forever so trying to be cool sometimes makes it not cool,” he said.

Tenerife seeks beach resort partner The future Baobab Domains beach resort in Tenerife

A LONG-term development to deliver a new beach resort with a hotel, villas and commercial space in Tenerife gets under way later this year.

The project, which will be completed in phases over the next 10 years, is being led by Tenerifebased Baobab Domains. Its man-

aging director Filip Hoste is leading a team at MIPIM to talk to potential management partners.

The plans include a 120,000 sq m complex that includes a hotel, holiday suites and villas, as well as a further 20,000 sq m of commercial space.

Also within the complex will be

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a sports club and golf courses.

Baobab is looking to form a partnership with a specialist management company with experience of similar resorts, to take over running of the development once it is complete. The first phase, including the hotel complex, will be complete in around five years.

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FRIS Investment Care Embraces Technology to Support Growth and Drive Services An increase in the density of regulations affecting European investors and the demands for transparency and compliance saw the Dutch Investment, Asset and Property Management firm FRIS turn to technology. Challenges turned into an opportunity to deliver more efficient, best-inclass services to clients when FRIS selected Yardi’s Voyager software to help manage their real estate operations and provide an enhanced competitive edge Considered to be one of the fastest growing property management companies on the Dutch market, FRIS Investment Care are well known for their professionalism in real estate management for more than 20 years now. The privately owned real estate company provides asset and property management services for both commercial and residential properties, managing approximately 1.4 Mil square meters of commercial real estate and over 5500 residential units all over the Netherlands.

To discover the story behind their sustained growth Marc Poelmann, co-owner of FRIS Investment Care, provided some insight into their culture and strategy to drive success. “Our business culture is best described as down-to-earth. Work hard and try to be the best. We keep a close eye on our costs

portfolio. The past 3 years have been extremely successful but as the company grew, we were facing an increased risk of something slipping through the cracks”, explains Poelmann. “We saw this as an opportunity to not only further streamline our business processes but also meet new client demand head on”.

With a clear vision of a prosperous business, FRIS Investment Care saw market and operational challenges as an opportunity to deliver even better services than before by adopting new technology.

“We decided to look for a software solution that would ensure real-time access for our clients, workflow management, and extensive reporting capabilities. We made a calculation of the savings we expected as a result of implementing Voyager

“We have the feeling that Yardi had become the stateof-the-art solution for many institutional investors”

Marc Poelmann

Co-Owner of FRIS Investment Care

which enables us to offer competitive fees to our clients. Our aim is to have a positive effect on the people we work with and the buildings under our management.”

The Secret to Success According to Poelmann the secret for their success lies in well organised operations. “Property Management is not rocket science. In order to be successful you basically need to organize it really well. The foundation of our success is built on a strong team of highly skilled colleagues, in a stream lined organisation, with clear internal procedures and State-of-the-art software that guarantees excellent service for our clients and tenants”.

Turning Challenges to Opportunities The density of regulations for investors in Europe has grown considerably. As a result, FRIS faced increasing demands from clients for compliance, reporting and transparency. “Client demands were evolving during a period of time when we experienced strong growth in our property

and the results persuaded us to definitely move forward”, said the co-owner of FRIS IC. Benefits of One Integrated Platform FRIS Investment Care and Yardi Systems embarked on a long-term partnership early this year when the company replaced a number of software products with Voyager. The Dutch company migrated the management of their entire commercial portfolio and will soon be managing their residential portfolio on the platform as well.

“Our clients gain easy access to accurate, real-time portfolio data which is easily accessible at any given time. This ensures total visibility and control of the information that matters most to them. We can also handle reporting requests in a faster, more timely manner”, said Poelmann. The co-owner of FRIS also explained that the Yardi platform significantly reduced risks and ensured better controls over the operations. “Digitalizing and encoding all incoming invoices right after opening the envelope reduced the risk of invoices getting

lost to zero. Also, the risk of an invoice having to wait too long for approval is now limited due to the fact that we have implemented our workflow process in Yardi. A better control of the workflow enabled us to reduce mistakes, gain more insight, manage the workload of our co-workers, and to further increase productivity. Therefore it is not only FRIS that benefit but also our clients and tenants.”

Always Think Two Steps Ahead The company’s thirst for planning ahead will help them further strengthen their market position and support their strategy of continuing to evolve and deliver new high quality services. “We are considering future innovations in the Yardi product range”, comments Poelmann. “There are developments like Voyager Plus, which will undoubtedly help us broaden our services to provide an even sharper competitive edge. Clients will have unrivalled, much faster access to highly detailed portfolio analytics from anywhere in the world. Commercial Café also has our interest as an extra service for our tenants.”

Strategic Partnerships Drive Growth As part of a business life-cycle a good investment can get a company one step ahead the market.

Apart from the benefits gained following the implementation, FRIS Investment Care has also ensured that their investment was strategically oriented towards growth and improved services.

“Yardi has the most sophisticated software solution for property management in the market today and our feeling is that Yardi is becoming the state-ofthe-art solution for many institutional investors”, comments Poelmann. “The fact that Yardi is continuously investing in further developments not only indicates their commitment to the industry but also aligns perfectly with our growth strategy”.

Investment, Asset and Property Management Software To learn more visit Yardi at MIPIM 2015 - Riviera Hall - Stand R7.F27

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NEWS

Minister helps to ‘unlock Italy’ for international investment

L Ghelamco’s Joroen van der Toolen: “changing the entire area”

WARSAW SPIRE POINTS WAY FOR OFFICE DESIGN INTERNATIONAL real estate investor and developer Ghelamco updated MIPIM delegates on the progress of Warsaw Spire.

The €300-metre project, which will provide more than 100,000 sq m of space, is the biggest office development currently under construction, as well as being the largest office tower in Europe. Featuring three main structures, the first of the 15-storey lower buildings opened last month with tenants including Frontex and BNP Paribas. The second building, which will open in October and is 50% pre-let, will be home to Bilfinger and Polish company Benefits System.

The final building, the 180-metre, 48-storey main tower, will open in April 2016 and should be 65% let by the end of the year.

The first tenants will be announced next month.

The development is complemented by a large urban space including restaurants, cafes, water features, fountains and art exhibition spaces.

“This development is changing the entire area,” said Jeroen van der Toolen, Ghelamco’s managing director for Central and Eastern Europe.

ENDING official government support to his country’s presence at MIPIM was the Italian deputy minister of economic development, Carlo Calenda.

For the first time this year, the Italian Pavilion presents a united front to showcase the real estate opportunities in Italy. It has an impressive selection of projects on display, drawn from leading destinations across the country.

After visiting the stand and touring the market, the deputy minister spoke at yesterday’s conference, Italian Real Estate: Back To The Essentials.

“There is renewed interest in Italy and recent liberalisation has narrowed the gap between the way we regard real estate and how the sector is approached in the rest of Europe,” he said. “However, there is still an immense difference and we are not doing enough to help improve the situation — we are not thinking through what real estate is all about.”

The Italian government has re-

Italian minister Carlo Calenda: “We need to open up to globalisation”

cently implemented structural reforms, fiscal policies and measures to support investment and boost flexibility, growth and employment, with particular focus on construction and real estate.

These incentives are intended to ‘unlock Italy’ for investment. Indeed, the recovery of the Italian property sector continued in 2014 with a total of €5.3bn of direct investment. The volume of foreign investment reached 80% of the

total, returning to pre-crisis levels.

Calenda added: “Real estate is a major driving sector for our country and the more we connect at an international level, the better. Traditionally we have not approached this in a consistent fashion, but cities are enormous growth engines. Looking to the future, we need to attract investment if we are to attract necessary talent. We need to open up to globalisation.”

Montreal Raceway is a good bet MONTREAL has been coming to MIPIM for 10 years to showcase its development opportunities to the international real estate community. This year, one of the city’s “most exciting prospects” is the redevelopment of Blue Bonnets Raceway, said Russell Copeman, mayor of the Montreal borough of Cote-des-Neige-Notre-Dame-deGrace, at a talk about the investment potential of the city.

The former horseracing and harness-racing track on the western side of Montreal is now derelict.

Copeman added: “It’s a 43 ha site and the redevelopment envisages between 3,500 and 5,000 housing units, together with retail and offices. But above all, it represents an unusual opportunity in the city to undertake a complete integrated and masterplanned development.”

Spreading the message from Montreal: Aeroports de Montreal’s Serge Cote (left), mayor Russell Copeman and Technoparc Montreal’s Mario Monette

Copeman, who is also a member of Montreal’s executive committee with responsibility for housing and urban planning, was joined on the Montreal stand by Serge Cote, director of strategy and business development at Aeroports de Montreal, and Mario Monette president and CEO of Technoparc Montreal.

Cote said a key reason for coming to MIPIM was to see how

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other airports around the world have developed their space.

“Airports are a lot more than runways and terminal buildings,” he added. “They are almost complete cities in their own right. We were particularly interested to find out in what ways airports like Paris’ Charles de Gaulle have managed their asset spaces.”

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The International Forum for retail & real estate development in Greater China 11-12 JUNE 2015 Intercontinental Puxi Shanghai Hotel Shanghai, CHINA

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THE WORLD’S LEADING

PROPERTY

MARKET Network with the most influential property leaders

21,000 delegates Discover outstanding international projects

19,400m

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exhibition area

Meet new sources of capital

4,500 investors Explore global market opportunities

93 countries

15-18 MARCH 2016 PALAIS DES FESTIVALS

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IN PICTURES

MIPIM 2015’s opening cocktail was sponsored by Istanbul Chamber of Commerce and Beyoglu Municipality

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Discover Istanbul conference

The Istanbul Pavilion drew crowds throughout MIPIM

Ibrahim Caglar (centre), president, Istanbul Chamber of Commerce

The 96 sq m model dominated the Istanbul Pavilion

A packed programme introduced Turkey to the real estate world

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IN PICTURES

The Palais des Festivals, the home from home for MIPIM 2015 delegates from around the world

Shining a light on Copenhagen

Beach cricket comes to Cannes

Cutting-edge technology

One-to-one business

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Winner of the selfie contest Johannah on Twitter: “Lucky to get a #MIPIMSelfie15 with guest star @Studio_Ora_Ito and his crew! Welcome to #MIPIM

The Cycle To Cannes crew rest their weary legs

Face-to-face meeting

Frankfurt in the frame

Catching up with email

Grenoble goes mobile

Digital displays

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1-2 DECEMBER, 2015 GRAND HYATT, HONG KONG

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2015

REAL ESTATE ASIA: A 2-day global leaders summit.

Fundamentals and perspectives on property, investment & retail in Asia Pacific.

• Expert-led Panels and Keynotes • High-level Networking Events • Prestigious Awards Gala Dinner

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NEWS ROUNDUP: THE DIGITAL MARKET

ROUNDUP: THE HOTEL MARKET

Digital is market buzzword as real estate adopts new tech

STRONG returns, good value and improved debt availability have helped Europe to the top of the hotel investors’ wish list, according to JLL, which projected that total transactions will reach $25bn this year, up from $21.5bn last year.

Much of this activity will be driven by single-asset transactions, especially in London and Paris, plus portfolio deals in the UK and Germany, where the recent €158m sale of Le Meridien Munich represented the largest single-asset transaction in the country.

The budget market will also continue to expand, JLL hotels & hospitality group finance director, France, Gwenola Donet told delegates at the Budget & Economy Hotels: From Basic To Revamping session on Thursday.

“For the budget market it is about evolution, not revolution,” Donet said. “While customers still expect affordability, safety and comfort they now also expect connection, socialisation, good design and sustainability. Technology is helping budget hotels make more from a small space, with flat screen TVs and smaller desks required as guests shift from laptops to tablets.”

At the mid- to luxury-end of

Digital Disruptors explain their business model at a MIPIM session

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IGITAL was most definitely one of this year’s key focuses at MIPIM. Where digital technology was once touted as radically changing the very bones of the property industry — online shopping replacing the need for physical shops for example — digital innovation this year focused more on being an enabling tool, improving the way business is done rather than changing it completely.

It was a trend that was evident throughout the market, from conferences and stands to technology demos, as exhibitors and attendees shared how digital can and is changing their lives and businesses.

Its disruptive nature is still evident, however, and it is likely the industry will undergo huge shifts in exactly how it does business as digital continues to impact real estate. One of the most highprofile events was the Digital Disruptors session on Wednesday where the audience had the chance to hear, evaluate and vote on some of the digital tools and changes that are — or will imminently be — available to them.

Eight digital innovators present-

Budget and luxury hotels enjoy growth worldwide

ed at the event.

Digital innovations were on show everywhere — from virtual reality to online leasing to digital property marketplaces — all illustrating how they were speeding up business. Online space marketplace Appear Here — voted the biggest digital disruptor in the Digital Disruptors session — revealed at MIPIM that half of its bookings last month took under 48 hours compared with the industry’s traditional three to six months. Meanwhile technology company Virtual Walkthrough explained how its property tours are improving viewing rates, pushing up sales prices and delivering more for customers and property owners.

Digital is bringing more people together than ever — whether physically or remotely, cutting down development times and complexity and enabling a much more dynamic property marketplace and a faster realisation of projects. You only have to look at the rapid growth of crowdfunding to realise the benefits that digital can enable in this respect.

Digital is a trend that businesses simply can’t afford to ignore.

the market, The Hyatt hotel chain was at MIPIM with plans to open 55 new hotels this year, building on over 40 added to its portfolio in 2014, according to Hyatt International senior vice-president acquisition and development, Peter Norman and adding around 10% to its global portfolio of some 560 hotels.

Last year the group opened two flagship Park Hyatt hotels in Vienna and New York, although Norman admitted that the search for a suitable site to develop a London Park Hyatt goes on. Currently under development, Park Hyatt Majorca will be the company’s first opening in Spain, while Norman said the company “still liked the long-term dynamic” in Russia and Hyatt is also expanding in Africa.

In the Middle East, investment in hotels in the United Arab Emirates increased by 222% last year, to around €2bn, a figure that CBRE Hotels intelligence manager Joe Stather described as “astonishing” as he pointed out that no other region around the world had seen that pace of growth.

Dubai’s existing stock of 90,000 rooms is set to increase by 20,000 by 2016, according to the Dubai Tourism Authority.

JLL’s Gwenola Donet: budget hotels are about evolution rather than revolution

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NEWS ROUNDUP: THE HEALTHCARE MARKET

ROUNDUP: THE US MARKET

Buoyant health sector expects further growth

Good news from the US as new investment flows IT’S BEEN a long time since

the world watched in a state of shock as the US real estate crisis unfolded. Globally the knockon effects were profound, and at first, it seemed, insurmountable. Which makes the fact that MIPIM this year has revealed so much positive news from the US even more remarkable.

Investment is pouring in and out of the world’s largest economy once again. The US National Association Of Realtors (NAR) revealed this week that some $92bn (€87bn) of investment made its way into the domestic residential real estate market from overseas, with $35bn being invested in the commercial sector.

Speaking to MIPIM News NAR first vice-president William Brown said that there were a host of opportunities in the huge real estate industry, and that MIPIM was a crucial place for Europe to make contacts across the board.

Also at the conference was the Association Of Foreign Investors In Europe (AFIRE), which brings together over 200 member organisations from 21 countries, all with a goal of investing in the market.

Equally welcome was the news this week that investment from the US into Europe is also flow-

Wednesday’s conference: European Healthcare Comes Of Age ­­— Where International Capital And Demographics Align For Further Market Growth

S

URGING demand for traditional core property investments has resulted in an increased focus on ‘alternatives’ at this year’s market, the booming healthcare sector among them.

This sector includes hospitals, clinics and local general-practice doctors’ surgeries.

Research shows that about 15% of funds are now allocated to such non-core assets, with 90% of investors planning to increase allocations over the coming five years. However the national legal and cultural considerations can be quite specific in this sector, meaning a ‘one size fits all’ approach to investment is not appropriate.

Mirroring the increased exposure, this year’s MIPIM saw a number of dedicated healthcare events. These included Wednesday’s conference: European Healthcare Comes Of Age — Where International Capital And Demographics Align For Further Market Growth, sponsored by Corpus Sireo, part of Swiss Life.

Further conferences, a flashmob networking event and a cocktail party sponsored by Healthcare REIT completed the programme.

According to Corpus Sireo managing director, Douglas Edwards, interest in the healthcare property

market is growing across northern Europe. Factors behind this include the ageing population and rising expenditure on healthcare in general. “This means healthcare property shows very low volatility — it’s more like an annuity investment,” he said.

Research by specialist healthcare and real estate financial advisor, Your Care Consult, found that €1.4bn of healthcare transactions were completed in Europe last year.

According to the research Germany has the largest market in Europe, worth €1.5bn in 2014, followed by the UK where £1.2bn (€1.7bn) of transactions took place.

This trend was also touched on by the head of the British Property Federation, Melanie Leech.

She said that a number of alternative sectors were proving strong returns for investors with healthcare becoming increasingly open, driven by the need to create integrated health and social care facilities as part of long-term reforms of the UK health service.

However, activity is much lower in southern Europe compared to countries in the north. Research shows that countries such as Spain and Italy have lower potential due to historically low investment volumes and demand.

ing. Among the companies looking to the region for opportunities is Thor Equities, which said on Thursday it was about to invest in the Scandinavian markets, with other deals imminent in the continent.

Thor is in good company.

Austin-based pension investor Employees Retirement System (ERS) is looking even further afield, with a wish list of commercial and industrial-focussed real estate funds in emerging markets such as India, South America and Turkey.

“We are looking to invest perhaps a little against the flow, in countries where we feel that the growth potential is just beginning,” ERS real estate portfolio manager Adam Cibik said. “This is our second year at MIPIM and we see an increasing amount of capital flowing across borders. The industrial sector in particular is tied to the global economy.”

And there was good news for occupants of office space too.

According to Noah Shlaes, chair of the US Counselors Of Real Estate (CRE), speaking to MIPIM News, office developers are catching up with Europe in meeting demands for the type of dynamic space modern innovative companies are looking for.

Antwaun Griffin deputy assistant secretary for US operations at the International Trade Administration, speaking at a breakfast to highlight US investment opportunities to the international market

21

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NEWS

Belgium’s Black Pearl aims Sustainability needs teamwork ARTNERSHIP is vital for ‘excellent’ green rating to sustainable city de-

P

O

NE OF the major Belgian developments being promoted this week at MIPIM is Black Pearl, the 11,000 sq m office scheme by Immobel in Brussels’s CBD. Designed by Art & Build Architect, the eight-storey development is currently under construction and will replace several obsolete office buildings while featuring a series of sustainability measures.

The scheme includes underground parking for 55 bikes and 55 cars — including space for 30 electric cars. The basement also includes an archive storage area.

At ground level, a multi-purpose event area is connected to a landscaped garden; there are also three useable landscaped rooftop terraces.

The capability of creating three mini-atria and duplex suites will allow 185_PREQUIN _N2&4_PIM

Black Pearl: green offices in Brussels

tenants to personalise their offices.

The building is expected to be certified as ‘excellent’ under the widely accepted green benchmark, BREAAM [Building Research Establishment Environmental Assessment Method]. Other green features include geothermal heat exchange, triple-glazing, green roofs and a rainwater basin in the basement.

velopment, said Francois Pitti, strategic marketing director of Bouygues Construction at MIPIM yesterday. “We are convinced there is no way any company in this world can solve these challenges alone. It is impossible, so we have developed an ecosystem of trusted partners,” he said.

Bouygues’ LinkCity initiative aims to ensure a truly connected approach. “We wanted in our partnership approach with local authorities to ensure the starting point is the human point.

A smart city is not only about connectivity it’s about the social side too,” he said.

LinkCity as an initiative aims to prioritise quality of life, develop urban links and create synergies between construction and the distribution of energy and services.

Bouygues Construction is devel-

WE LOOK FORWARD TO SEEING YOU AT OUR STAND: RIVIERA 7, F.31

Francois Pitti, strategic marketing director at Bouyges Construction

oping with its partners a number of solutions to help solve the challenges it is seeing. “It’s a process of listening and co-construction and co-development,” Pitti said.

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NEWS Bordeaux gives shape to its eco mission with wooden building

T

HE CITY of Bordeaux is taking sustainability to its logical extreme and plans to commission an office building whose structure is constructed entirely from wood.

French developer Groupe Pichet demonstrated the potential of the 5,000 sq m wooden building on the Bordeaux Metropole stand yesterday.

A panel that included CEO of

Wooden offices: a boost for sustainability while reducing nuisance

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the Pichet Group, Patrice Pichet, Bordeaux Euratlantique deputy managing director Alexandra Carpentier and Guillaume Poitrinal, CEO of Woodeum, explained the proposal.

According to the panel, the building would be faster to construct while drawing on and boosting the local economy for raw materials.

It would also help Bordeaux Euratlantique to achieve its low-carbon use objectives. The nuisance to neighbouring businesses and residents during the construction period would also be less than that created by a conventional concrete structure, the presentation said.

Woodeum’s Guillaume Poitrinal: wood works on several levels

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NEWS Coventry signs deal for expansion of University

FRIDAY IN BRIEF FRIDAY 13 MARCH GREEN ROOM

Prof John Latham vice-chancellor of Coventry University (left); Ann Lucas, leader of Coventry City Council; Martin Reeves, CEO Coventry City Council

A

DEAL has been signed at MIPIM that will lead to the largest and most significant development of Coventry University since it was founded.

UK midlands city of Coventry has agreed to sell four civic buildings between Little Park Street and Much Park Street to Coventry University, which will lead to a major expansion of the university onto the 1.75-ha site.

The deal, which comes a year

after the two agreed an exclusivity agreement to allow the university to formulate plans, will see the land developed when Coventry City Council moves to its new headquarters at Friargate in 2017.

Detailed plans for the site are still to be finalised, but the university plans to invest around £125m (€176m) in a series of buildings likely to include a new headquarters, an international student centre, a research hotel and a business incubation unit.

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Atkins’ Janus Rostock

New cultural hub for Dubai DUBAI Opera is on course to open in Q1 2016, with the final concrete sections to be in place in the next few weeks. The building forms the centrepiece of the Opera District in Downtown Dubai and will sit within what Janus Rostock, head of architecture and urban design at Atkins, Middle East, called “Dubai’s first real civic plaza”.

The footprint of Emaar Properties’ Dubai Opera is situated within a number of tall towers,

which required the design to be both carefully considered within the space and, Rostock said, there was an “emphasis on a seamless roof, with no technical equipment visible from above”.

The 2,000-seat multi-format venue will stage opera, theatre, concerts, art exhibitions, orchestral performances, film, sports events and seasonal programmes, while space has also been created for an outdoor amphitheatre.

Programme as of February 23rd 2015, may be subject to change

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NEWS Cross-border investment is most profitable, CBRE study suggests

I

NVESTORS should not focus

solely on their domestic markets, but should diversify their real estate investments in order to bolster returns and to provide more flexibility in the timing of their transactions, according to CBRE Global Investors.

Pieter Roozenboom, head of global separate accounts, said that new CBRE research at city rather than country level had revealed that there tends to be very close correlation between the investment performance of cities in the same country, especially in the US. This limits the opportunity to benefit from different growth cycles and to mitigate risk.

“The message from our research is that, for US investors especially, it makes far more sense to have investments in Europe and Asia,” he said. “This not only enables investors to make the most of higher growth markets, but also to be more flexible about buying and selling because international markets are in different cycles.”

While he noted a changing attitude towards cross-border in-

CBRE Global Investors’ Pieter Roozenboom: look beyond domestic markets

vestment, Roozenboom pointed out that domestic investors in the three huge real estate markets of the US, the UK and Japan tend to be very focused on their home territories.

“Europe makes up around 30% of global real estate by value, but that will decline as other mar-

kets grow,” he said. “With the maturing of real estate as an investment class, the development of the real estate investment industry and increasing market transparency, the local nature of real estate markets should no longer constrain investors to their home country.”

Major green-up planned for Paris OVER 100 acres of green roofs and terraces will be built across Paris, according to plans outlined by the city’s deputy mayor, Jean-Louis Missika, in Cannes this week.

He was speaking at a conference entitled Greening Up The City: Challenges For Real Estate, organised in association with ESSEC Business School’s retail and sustainable development publication, Cahier de la Chaire.

Greening is set to be a central objective of Missika’s mandate. He believes this will improve the quality of life and wellbeing of Parisians and augment the attractiveness of the city, while helping to preserve bio-diversity and furthering the fight against global warming.

The third edition of ESSEC’s Cahier de la Chaire is downloadable from the ESSEC website.

HILL SETS OUT ITS STALL IN CANNES CONSTRUCTION consultant and project management company Hill International, which employs around 4,600 people working in 36 countries, is at MIPIM to showcase a range of projects.

Madrid-based Jeffrey Sujar, vice-president of the company’s project management group, has special responsibility for Western Europe and Russia. He said that, despite the downturn in oil revenues, there is still a lot going on in Russia.

“The country is becoming a much more mature market,” he said. “And that means developers take a long view now. They recognise they are in Russia for the long haul, through upturns and downturns. They are there to stay.”

Current Hill International projects on Sujar’s beat include project managing hotels in Astana and Athens; a new 50,000 sq m shopping centre in Lodz, Poland; and the 40,000 sq m extension to La Maquinista shopping centre in Barcelona.

SFS AIMS TO GET CONNECTED

Deputy mayor of Paris, Jean-Louis Missika: green mission

29

A FRENCH insurance company specialising in property construction has attended its first MIPIM conference as part of its long-term plans to expand its operations in Europe.

Securities & Financial Solutions (SFS) is in Cannes to widen its contacts in the international market, which director of development Frederic Lamotte said was looking “strong and dynamic” for the year ahead.

He added: “We have had some really good, positive meetings and made some very interesting new contacts in Cannes.”

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NEWS Tokyo 2020 provides Olympic lift for Japanese city schemes

F

OR EIGN inwa rd investment is now “one of the pillars of the Japanese government’s growth strategy,” Kenzo Capital Corporation president and CEO Leonard Meyer zu Brickwedde said.

Meyer was introducing the MIPIM Japan Focus session and added that one purpose of such events, both at MIPIM and the forthcoming MIPIM Japan, is to provide market intelligence and to increase the transparency of the Japan property market to potential investors.

Japan Focus panelists included Tokyo Tatemono’s Fumio Inada, Hitachi’s Akihiko Tobe, Mitsubishi Estate London’s Naoki Umeda and vice-minister land, infrastructure transport and tourism Kisaburo Ishii.

Ishii reviewed 20 of the most important property development projects that are slated for development in the cities of Tokyo, Nagoya and Osaka.

“Each of the projects has its development position established and the land bought but needs a

Japan Focus panelists: moderator Leonard Meyer zu Brickwedde (left), Tokyo Tatemono’s Fumio Inada, Hitachi’s Akihiko Tobe and Mitsubishi’s Naoki Umeda

jects in the pipeline include a maglev (wheel-less) train line to connect Nagoya and Tokyo, the updating of Tokyo’s three-ring road system which will improve both travel and logistics, as well as preparations for the Olympics.

“As the Olympics approaches Tokyo will change and it needs investment and participation from you,” Ishii said.

lot of money from now on,” Ishii said.

Much of the development will take place in parallel with preparations for Tokyo’s 2020 Olympic Games which is already proving a catalyst for public and private sector infrastructure schemes and private sector development projects.

Large-scale infrastructure pro-

Marina is water-tight opportunity SPECIALIST seaside resort developer POC Group’s latest project is Marina Royale, a beachside development on the Baltic Sea in Darlowo in Poland.

Poland has 600 km of undeveloped seacoast, according to POC founding partner Peter Taffeiren, who told MIPIM News: “In many ways it’s the last undeveloped coast in Europe. It’s one of the most beautiful too.”

Another benefit of developing a project in Poland, Taffeiren said, is that it is straightforward. “There’s no corruption, the laws are clear,” he said. “The country is also growing rapidly. The spending power of Poles is increasing rapidly. Many are now thinking of second homes,

BOOM FOR ONLINE RETAIL IN RUSSIA APPETITE for online retail in Russia is continuing despite economic and political uncertainty, Sergey Fedorinov, chief executive of the country’s largest e-tailer Ulmart said, and his company is pressing ahead with expansion plans.

“There is a huge market from customers for online retail in Russia and it’s growing; it’s not really suffering from what’s going on politically,” he said.

Fedorinov was leading the team at MIPIM with a view to finding investors and development partners to play a role in the expansion of Ulmart’s logistics infrastructure.

The company has invested heavily in rolling out a network to cover Russia to exploit the potential of the burgeoning opportunities.

“It’s very important to us that we work with people who are interested in our unique model,” Fedorinov said. “We have an infrastructure which has been created specifically for e-commerce.”

Ulmart was founded in 2009 and has since grown exponentially.

POWERHOUSE

REGENERATED

POC’s Marina Royale development

or upgrading their home, or looking to find retirement homes. Marina Royale is designed to fill that need.”

The first phase will see 350 waterfront apartments being built, all with a balcony with a view over the sea or the Darlowo river. It’s not just the sea views that make the apartments stand out, it’s the atten-

tion to quality and detail as well, Taffeiren said. ”We’re putting in high standards of acoustic dampening between the walls. This is something many developers don’t bother about, but we do.”

Future phases of the development see around 1,200 more apartments being developed.

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TWENTYTWO Real Estate said that Powerhouse France, its investment vehicle, has completed a E793.5m refinancing package arranged and underwritten by BNP Paribas.

The six-year financing package comprises a E205m corporate financing facility provided to Powerhouse France and a E588.5m mortgage facility provided to its subsidiary SAFRAN.

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NEWS Etterbeek’s eco-friendly city hall set to consolidate and regenerate

O

N ITS completion in

2018, Etterbeek City Hall mixed-use project — developed by the Commune d’Etterbeek, one of Brussels’s 19 municipalities — will become the largest building constructed according to the Passive House sustainability standard, and also the largest urban regeneration programme in the municipality for a generation.

Designed by BAEB and JaspersEyers Architects, Etterbeek City Hall will bring together all the administrative and social services provided by the municipality, previously sited in different locations.

The 20,000 sq m project will replace a derelict site and the project will feature a new public square as well as a new public park.

Etterbeek City Hall

The mixed-use project will also accommodate a police station, a funeral parlour, a restaurant, and 5,000 sq m of housing. New pedestrian routes throughout the project will facilitate pedestrian circulation far beyond the project’s limits.

Et terbeek Cit y Ha ll has been designed to achieve the

BREEAM Excellent certification and fully complies with the current Brussels Passive House regulations. The building will include a series of sustainable features, including: a brisesoleil; solar panels; geothermal systems; green roofs; and water retention and recovery.

ANALYSIS

AGORA SCHEME UP FOR AWARD IN LUXEMBOURG LA MAISON du Savoir (House of Knowledge) is the main building of developer Agora’s wider redevelopment of the Luxembourg industrial wasteland of Esch-Belval, known as the Cite des Sciences. The 45,000-sq m project divides the urban area into four neighbourhoods — the Blast Furnace Terrace, the Square Mile, Belval Park and the Quartier Belval residential area — together offering a combination of services, businesses, scientific and educational institutions, sports infrastructure, recreation and cultural centres. Among 420 projects from 36 countries, the Maison du Savoir project has recently been nominated for the Mies van der Rohe Award 2015, the European Union prize for contemporary architecture.

2014 Investment flows

(€1bn+)

from USA to Netherlands $6.109bn

Brussels $1.869bn

Top deal 2014 (€500m+) Location

Property

Price

Purchaser

Brussels

North Galaxy

$659m

ATP RE Denmark/AXA

33

2014 Top markets

Source: Real Capital Analytics

$3.144bn

Amsterdam/Randstad

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WARSAW

A CITY TO INVEST IN, A CITY TO LIVE IN

The city’s strength lies not only in its business advantages but also the satisfaction of those who work and live here.

WA R S AW S TA ND N O. R 8 . D1

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W

arsaw, as the capital of Poland, remains the country’s main economic and business hub and the leader among CEE countries.

Warsaw’s strong position and its promising prospects for further dynamic development encourage investors to continue or initiate operations in this region. The 2015 forecasts for the countries of Central and Eastern Europe are promising. GDP in this region will grow by 2.5%, i.e. twice as fast as in the Euro zone, and for the fifth year in a row Poland should remain the fastest growing economy in the region. In the report, “Emerging Trends in Real Estate Europe 2015” Warsaw was ranked 14th in Europe, making it the dominant location of commercial real estate in Central and Eastern Europe.

Warsaw’s city centre covers an area of over 15 square kilometres, within which sections of a completely different nature co-exist: the medieval Old Town, rebuilt after the Second World War, modern high-rise complexes, extensive parks and broad commercial thoroughfares.

On its eastern side, Warsaw’s city centre

is bordered by the Vistula – the last untamed river in Europe. We will soon see the opening of the second line of the Warsaw Metro, the effect of which will be to expand the city centre to the west, in the direction of the former workingclass district of Wola, and connect it with the Praga district located on the right bank of the Vistula. The developers operating on the Warsaw real-estate market are not only building new investments, but also renovating existing facilities. A number of investments are being carried out along both the eastern and western stretches of the Metro’s 2nd Line: on the Praga side of the river, the former Pollena cosmetics factory is being renovated by the company Okam Capital, in Wola the Ghelamco company’s Warsaw Spire skyscraper, and new project Mennica Legacy Tower that is a joint venture of Golub GetHouse and Mennica Polska S.A. which will offer close to 65,000 square meters of modern office space located in a 130-meter high tower and its adjacent low-rise building. * The city’s economic potential can be seen in a number of key indicators

that guide investors in their decision making process. Mention should be made of the region’s large and receptive market, land and property offers that are attractive both in terms of price and location, a labour market providing access to highly educated employees, access to scientific research centres, a concentration of business environment institutions, and an appropriate city management policy, including systematic efforts to strengthen the city’s metropolitan functions. All this contributes to the increased interest in the Warsaw market shown by investors and developers. In 2014 alone, more than 276,000 square meters of new office space came onto the market, and the total area of modern office space now exceeds 4.4 million square metres.

Warsaw occupies 6th place in the global Investment Intensity Index, investment intensity being the ratio of the volume of investment transactions in commercial real estate to the size and economic potential of a given city. In this index, Warsaw was only outranked

05.03.2015 13:00

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by London, Oslo, Munich, Stockholm and Copenhagen, ranking it higher than such cities as Paris, New York and Tokyo.

The city’s effective use of EU funds and its commitment to integrated territorial investments, whose aim is economic and social development for the municipalities of the metropolitan area, gives an additional boost to its investment potential. Even through the hard times of the recent economic crisis, the city’s authorities have carried out strategic investments while maintaining the investment budget at the highest level. In the years 20072014, over PLN 8 billion EUR were spent on investments, including 2.2 billion in EU Funds.

The city’s strength lies not only in its business advantages but also the satisfaction of those who work and live here. In terms of quality of life, the city figures exceptionally well. Its welldeveloped roads, sports and cultural infrastructure, green spaces, research facilities and the interest shown in the population and their needs, ensure convenience and functionality on a daily basis. A good example is the Veturilo

mipim news 480x330mm.indd 17

urban bike rental system, considered one of the best in the world – better than the systems found in London, New York or Washington. In turn, Warsaw’s beaches on the Vistula River last year proved to be one of the top 25 places in the world most often visited by Facebook users. According to the Lafarge “Happy city” study, conducted in collaboration with IPSOS, some 81% of those living in the capital do so by choice and feel good here!

1 Erste Group report “Emerging Europe” 2 PwC and Urban Land Institute (ULI) report: “Emerging Trends in Real Estate® Europe 2015” 3 WRF report: Warsaw Research Forum (WRF) consists of seven real estate services firms: CBRE, Colliers International, Cushman & Wakefield, DTZ, JLL, Knight Frank and Savills. The representatives of these companies aim to standardize indices published through collection and comparison of quarterly data.

4 Report by Jones Lang LaSalle conducted between the second quarter of 2011 and the first quarter of 2014.

O U R PA R T N ER S AT M I P I M 2015: BBI Development, Ghelamco, Golub GetHouse, HB Reavis, Kulczyk Silverstein Properties, Okam Capital, Poczta Polska, XCity Investment

*

M ED I A PA R T N ER : Poland Today

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