Along with non-store retailers such as Amazon and Zalando, construction group Panattoni has experienced increased demand from the ecommerce sector during the pandemic. The company recently slowed its rate of investment, but is still gaining ground in eastern European markets.
In 2020, the company announced 29 new projects into emerging Europe, according to greenfield investment monitor fDi Markets. These investments involved an estimated capital expenditure of $2.64bn — a fall from Panattoni’s 17-year high of $3.84bn in 2019. Almost 90% of the company’s 2020 projects were located in Poland, with the remainder situated in the Czech Republic.
The city which benefited most from this expansion drive was Warsaw, which has been the destination for 13 Panattoni investments overall. This was closely followed by Lodz with nine projects. Poznan, Wrocław and thriving port city Gdansk are in joint third place, with four projects each. Poznan and Wrocław are particularly attractive destinations for logistics companies, with strong transport links to Germany and the Czech Republic.
The consumer goods sector is also profiting from increased economic prosperity in the EU, with consumer spending increasing gradually from 2018 onwards according to Trading Economics. Unlike Zoom quizzes and questionable haircuts, the trend of retail moving online seems likely to continue in the post-Covid era, and Panattoni looks set to maintain its strong momentum.