Lodz economy is growing despite epidemic

End of May 2020 was a very busy time in Lodz city. Despite COVID-19 restrictions, there are sectors which are blooming and growing. The economy of the city seems quite firm and unmoved by the last events. We present some basic data from the last few months that give hope and shows the strengths of Lodz city and region:

• Real estate market is booming.
• Q1 2020 in the Lodz office market ended in record-breaking demand at 37,700 m2
• In May 2020 Lodz was one of only two cities in Poland with positive results in office renting - the vacant offices were fully absorbed by new lease agreements.
• Lodz’s office stock is expected to expand by more than 44,000 m2 in 2020 (Hi Piotrkowska 155, Skanska’s Brama Miasta B).
• Most tenants for the office market are BPO/SSC companies.
• There are over 85 of them in Lodz. The excellent geographical location, convenient access to Warsaw and a business-friendly environment are just some advantages of the city that make it attractive to companies from this sector.
• The number of new residential development investments in Lodz is gradually growing. Right now 11 000 flats are being built and 2000 were already finished this year.
• Logistics centres are still growing in Lodz.
• Planed area of New Industrial District in Lodz covers 600 000 km2.
• Panattoni, during COVID-19 pandemic, finished a logistic park with an area of 30 000 m2 in the largest logistic centre in Europe - Central European Logistics Hub.
• Panattoni has recently bought 14.8 hectares of land near Lodz to build logistic centre Panattoni Park Stryków IV (74,000 m2).

Also, the unemployment rate seems unmoved by the COVID-19 pandemic. When we compare data from the end of May this year to a similar period of previous years, the unemployment rate now is the lowest.