2022

Despite this, GDP is estimated to have grown 2.1% in 2022 and is projected to decline 0.3% in 2023, with a recovery of 4.4% in 2024.

Riga's office market saw limited new deliveries in 2022, with only one project, the class A Verde project with 15,000 sqm GLA, reaching the market in Q3. The high cost of construction and supply chain disruptions have delayed planned office projects. However, in 2023, a significant amount of new, high-quality, energy-efficient office space, both class A and class B, is expected to be delivered.

In 2022, construction costs caused significant increases in the prices of under-development and already commissioned new apartments. The first three quarters of 2022 were active in terms of residential transactions for both old and new properties, but the pace slowed in Q4 as the market prepared for the new heating season. The industrial market continues to develop, mainly with experienced developers, who are likely to pre-lease a lot of the industrial space during development and construction.

Overall, the property market is performing well despite the challenging economic and political situation. The pandemic has shown to have increased resilience among individuals and businesses.

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