The fast view
Given the numerous headwinds experienced within the global macroeconomic environment over recent years, it was encouraging to see that the major economies within Central and Eastern Europe continue to exhibit a high level of resilience.
Late in June, I travelled to Poland, Romania and Bulgaria, to kick the tires of some of the real estate assets owned by JSE-listed property companies, NEPI Rockcastle, Growthpoint Properties and Redefine Properties.
I made three key observations during my visit:
- The investment theses for these offshore assets remain intact
- Physical retail is not dead, despite increasingly bearish sentiment in recent years
- Pockets of weakness do exist, with office, both home and abroad, continuing to be a concern
In this note, I dive into further details on each observation and share some insights from my meetings with the companies.
