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Croatia Marketbeat

Dragan Radulovic • 8/17/2023

Croatia’s GDP growth slowed down in the first quarter of 2023, although the mild and late winter supported construction activity and reduced the drag from high energy prices, moderating the slowdown. The World Bank expects Croatia's economy to grow by 1.9% in 2023, up 1.1 % compared to the bank's previous prediction made in January. According to the Croatian National Bank in the first five months 2023, inflation slowed down continuously, reaching 7.9% in May 2023.

CURRENT MARKETBEATS

Europa office building, Brussels
CROATIA Q2 2023 OFFICE DATA

During Q2 2023, occupier’s activity continued to intensify. Take-up reached 23,400 sq m, with average deal size of 820 sq m. Total occupier activity in 2023 has reached 42,000 sq m, representing an increase of 33% compared to H1 2022. The asking rents for Class A office buildings remained at the level of €13-15.5/sq m/month.

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People walking in shopping mall, blurry
CROATIA H1 2023 RETAIL DATA

Development activity in retail sector is primarily focused on the development of retail parks and convenience schemes at secondary locations. In the first two quarters of 2023, six retail parks were opened across Croatia, enlarging the stock for new 70,300 sq m of retail space. The leading Zagreb shopping centres have maintained a stable level of rents during the first six months of 2023, ranging between €30-45/sq m/month.

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