Real Estate Market 2026: Why Poland Is Outpacing Germany

As of March 2026, the situation is clear: while the German real estate market is losing momentum, Poland is experiencing a strong upswing. Germany is struggling with bureaucracy and rising costs that have significantly slowed down new developments. Meanwhile, projects in Poland continue to move forward at full speed. Thomas Podstawski (CEO of Podstawski Group and leader of Activ Investment) explains why investors are increasingly turning to Poland in the latest episode of the Kaffeepause by KONII podcast.

Scale as the Foundation of Credibility

In the real estate development industry, credibility is built through execution, not declarations. The only real foundation of trust is a tangible, high-quality end product.

Podstawski Group enters 2026 with a portfolio of over 7,000 completed residential units in Poland. This is not just a number - it demonstrates the ability to operate effectively within the local system, from administrative processes to construction delivery.

At the same time, the group is expanding its own rental portfolio - currently around 330 units - which serves as a real-world test of profitability and tenant behavior.

From a foreign investor’s perspective, this is critical. Poland is no longer an “early-stage” market. It is an environment that:

• operates within predictable legal frameworks,
• is managed by experienced, operationally efficient players,
• offers margins that are no longer achievable in Germany.

Polish Efficiency vs. German Constraints

One of the most frequently highlighted differences is the cost of project delivery. This is not driven by cheaper materials - these are priced similarly across Europe. The key lies in systemic factors:

• shorter and more predictable administrative procedures,
• lower regulatory burden,
• greater operational flexibility for developers.

The Math of Profit: Speed and Capital Efficiency

In practice, these differences translate into measurable economic outcomes. Projects in Poland are characterized by:

• higher capital turnover due to shorter development cycles,
• lower capital expenditure (CAPEX),
• more attractive net returns.

For Western investors, the conclusion is straightforward: Poland currently offers one of the most favorable risk-to-reward ratios in the region. This is where investment fundamentals still work, while in Germany they are becoming increasingly difficult to justify.

Student Living: A Segment That Could Reshape the Market

While the Build-to-Sell model has long been the backbone of the Polish development sector, the market is maturing and opening up to new investment formats. One of the most promising is Student Housing, which - according to Thomas Podstawski - has the potential to become one of the most attractive real estate segments in Poland.

ZEITRAUM Racławicka in Cracow – a modern student residence with an apartment section for rent, developed by Activ Investment for ZEITGEIST Asset Management

This represents not just a shift in product, but a shift in investment logic: from one-off sales toward stable operational income and long-term asset value creation. With growing demand for well-designed, professionally managed student accommodation, this segment addresses a clear market gap. Compared to more mature and often less flexible Western European markets, Poland has the capacity to scale this sector faster and more efficiently.

“In Poland, we are not just looking for volume - we are looking for profitability that has become mathematically impossible in Germany. Student Living is our way of ‘reawakening’ the market and proving that professional asset management can generate returns that are currently out of reach in Berlin.” - Thomas Podstawski

Modern common areas at ZEITRAUM Racławicka in Cracow.

Conclusion: From Alternative to First-Choice Market

Poland is increasingly shifting from being seen as an alternative to becoming a primary destination for residential capital. This is driven by three key factors:

• strong and stable domestic demand,
• a rapidly developing rental sector, including formats such as Student Living,
• higher investment efficiency in terms of both execution speed and return potential.

Against the backdrop of the German market - where investors face cost pressure and limited project viability - Poland remains a market where capital can be deployed more efficiently. For many investors, this is no longer a matter of preference, but a rational business decision.

👇 The full podcast episode is available below (in German):

Thomas Podstawski, CEO of Podstawski Group and Leader of Activ Investment, analyzes the phenomenon of the Polish real estate market in his latest podcast. Why can housing be built in Poland at up to half the cost of Germany? The answer lies not in materials, but in the system.

Poland attracting attention across Europe

In the podcast, Thomas Podstawski highlights a trend that is increasingly capturing the attention of Western media, investors, and real estate experts: the exceptional efficiency of Poland’s residential construction sector.

At a time when many Western European countries are struggling with rising development costs, excessive bureaucracy, and economic slowdown, Poland is strengthening its position as a dynamic, competitive, and efficiently operating market.

Where do lower construction costs come from?

One of the most striking conclusions of this analysis is that residential projects in Poland can be delivered at up to half the cost observed in Germany. As Podstawski emphasizes, this is not the result of any “magic” or significantly cheaper construction materials. Steel, concrete, and construction chemicals are priced very similarly on both sides of the border. Differences in raw material costs are marginal and do not explain such a large gap in total investment costs.

The true source of Poland’s advantage lies in work organization, operational efficiency, and the structure of the entire development process. The Polish construction market operates faster, more efficiently, and with significantly lower administrative burden. In practice, this means that the same construction tasks can be completed with fewer labor hours, while projects are not delayed by excessive procedures, certifications, or administrative barriers. This focus on results rather than overregulation translates directly into real cost savings.

The fiscal environment also plays an important role. The Polish system offers solutions that enhance the competitiveness of residential developments. Combined with faster project delivery, this enables developers to operate more efficiently and respond more flexibly to market needs. From an investor’s perspective, this means better project conditions; from a buyer’s perspective, greater housing availability.

Podstawski also points to social and cultural factors. Over the years, the Polish market has developed based on high levels of professional activity, entrepreneurship, and a strong focus on growth and financial independence. This mindset translates directly into the construction sector. Where speed, organization, and efficiency are key, the Polish model proves to be particularly resilient and productive. As a result, the Polish real estate market not only continues to grow dynamically but also remains attractive to both homebuyers and investors

Market security strengthens customer confidence

Another important pillar of the Polish model is market security. In recent years, regulatory solutions have been introduced to enhance consumer protection and stabilize the development sector. As a result, the residential market in Poland is now perceived as more structured and reliable. For buyers, this means greater confidence; for the industry as a whole, a higher level of trust that supports long-term growth.

The approach to apartment design and sales is also significant. Over time, the Polish market has developed a model that responds to real customer needs. Units are designed with functionality in mind, floor plans are better optimized, and the widely adopted developer standard allows buyers to finish their apartments according to their own budget and preferences. This solution both lowers the entry cost of purchasing real estate and provides greater flexibility and control over the final outcome.

Time is another critical factor. In real estate, speed is one of the most valuable resources. The shorter the administrative and construction process, the lower the financing costs and the higher the capital efficiency. This is where Poland stands out particularly strongly. More efficient procedures and shorter project timelines allow developments to be executed in a more predictable and competitive manner than in many Western European markets.

The Polish construction model as an inspiration

According to Thomas Podstawski, the success of Poland’s residential construction sector is no coincidence. It is the result of a pragmatic approach, a well-organized development process, greater flexibility, and a strong sense of responsibility among all market participants. Poland demonstrates that it is possible to build safely, quickly, and efficiently while maintaining high growth dynamics.

The growing interest in the Polish real estate market among international observers is therefore not surprising. At a time when many economies are searching for ways to restore competitiveness, Poland stands out as an example of how to combine reasonable costs, operational efficiency, and real growth potential. It is a model that not only attracts attention but may also serve as an inspiration for other European markets.

Link do całego podcastu: 

Design that inspires – see the standard of the communal areas at Activ Investment

In today’s residential developments, communal areas serve a purpose far beyond mere functionality. They influence residents’ day-to-day comfort, the building’s aesthetics and the overall impression of the development from the moment one steps inside.

In this article, we present designs for communal areas in Activ Investment’s planned and completed developments. We show how we create spaces that are consistent with the building’s architecture, aesthetically refined and functional in everyday use.

Nova Mikołowska – City Garden in the centre of Katowice

The communal areas of Nova Mikołowska: City Garden combine functionality with timeless aesthetics. Natural wood, light-coloured surfaces and precise lighting create a cohesive, well-lit space that instils a sense of calm from the moment you step inside.

The glazing lends the interiors a sense of lightness and makes them appear more spacious, whilst the meticulous joinery creates a cosy, modern and timeless atmosphere. The whole development offers residents everyday comfort and guarantees a high-quality finish throughout. (Completion: 2027).

ŚwiatoVida – Our debut in Warsaw

The communal areas of the ŚwiatoVida development in Warsaw have been designed with comfort and aesthetics in mind. The entrance area features stainless steel mailboxes, subtly integrated into a wall made of wood-effect joinery in a warm, cosy shade. Linear lighting highlights the character of the interior and lends it a pleasant, homely atmosphere. The whole creates a cohesive, modern and elegant space.

Kopalniana 7 – Flats with a view of Bogucki Park

The communal areas of the Kopalniana 7 development in Katowice offer a modern interpretation of the region’s industrial identity. The warm brick tones, paired with white and complemented by graphite details, create a striking yet harmonious space that subtly references the unique character of the Silesian Museum neighbourhood.

The entrance area features a comfortable seat, a mirror that visually enlarges the interior, and unique wall art that highlights the local character. It is a cohesive, superbly designed scheme that consciously enhances the building’s prestige and fits seamlessly into the atmosphere of this part of Katowice.

Area Park II Housing Estate in Gliwice

The communal areas of the Area Park II Housing Estate stand out thanks to an elegant combination of materials and colours. Natural wood adds warmth to the interiors, blending harmoniously with the cool blue of the walls, which gives the space a fresh, modern and timeless character.

Dark letterboxes provide a stylish accent, emphasising the orderly and cohesive aesthetic of the interior. The whole has been designed with everyday comfort, durability and high-quality finishes in mind. (Completion of construction – 2027)

Wodna II in Kraków’s Płaszów district

The communal areas of the Wodna II development in Kraków are characterised by an elegant combination of deep, bottle-green tones with warm wood shades. This harmonious composition gives the interiors a sophisticated yet natural character, creating a welcoming space for residents.

The main decorative feature is an ornate logo made of brushed stainless steel, which emphasises the high standard of finish. Light-coloured porcelain tiles and modern, circular lighting lend the corridors a sense of lightness, combining contemporary minimalism with homely cosiness in every detail

Are you looking for a flat in Kraków, Warsaw or Silesia?

We invite you to explore our developments, which combine unique design with the utmost attention to detail. Contact our sales office to find out more about our offers and work with our advisors to find the perfect space for you. We will help you choose a flat that best suits your needs and lifestyle.

Our developments:

We are unveiling the façade of Building B1 at ŚwiatoVida in Warsaw. The investment is entering its final stage of construction

The construction of the ŚwiatoVida development in Warsaw has reached another important milestone. We have begun the gradual unveiling of the façade of Building B1, allowing the project to take on its final form. With each passing week, the development more clearly reveals its target character and integrates more strongly into the landscape of this part of Tarchomin.

Construction works are progressing according to schedule. Completion of Building B1 is planned for Q2 2026, while Building B2 is scheduled to be completed in early 2027.

Only 5 apartments remain at ŚwiatoVida

The dynamic pace of construction is matched by the final stage of sales. Only 5 units are still available in the ŚwiatoVida development:

• 2 studio apartments – 29 m²
• 3 investment units: 1 compact one-room apartment of 31 m² and 2 functional two-room apartments of 34 m² and 35 m²

This is the last opportunity to become part of Activ Investment’s first development in Warsaw. Since its launch, the project has attracted strong interest from those seeking both comfortable living spaces and a secure form of capital investment

Tarchomin: Comfort of living and reliable returns

The location of ŚwiatoVida – right next to Galeria Północna – is one of its strongest advantages. Immediate proximity to shops, restaurants, and services makes it an exceptionally convenient place for everyday living.

From an investment perspective, the proximity to public transport and well-developed local infrastructure make these apartments an excellent capital investment. The success of this project is confirmed by the fact that nearly all units were sold during the construction phase.

Final units available at ŚwiatoVida

If you are considering purchasing an apartment in Warsaw – either for personal use or as a rental investment – now is the time to act. With such limited availability, the remaining units are quickly disappearing from the market.

Contact us to check the last available apartments at ŚwiatoVida.

📞 +48 22 597 23 72