If you say so Milky.........yawns!!!!!!
The 4700 zł m2 development I saw advertised - they have not even started building it yet
I have been keeping my eye on two proposed new projects in my local area. Both have been advertised with pictures of artists impressions of what they will look like when completed. Having checked with the court, neither of the developers have applied for planning or building regs. The banks are not lending for spec developments, hence, no building work is taking place and unless the developers can show the banks that they have at least 25% of pre-build orders, I do not think these projects will proceed in the current financial climate.
If this is a general trend throughout Poland, there will be massive unemployment in the construction industry. The large cities will cope as there are many people and companies moving there. The smaller towns will struggle with only minor works and the odd, privately built houses and local authority contracts which may not amount to much if there is a cutback on government spending.
There is still a demand for new build in this area as the housing stock is old. The only solution I can see for the situation to improve is for the banks to look at their lending criteria. Instead of trying to lend out small amounts of money to people at extortionate rates of interest (so say, spreading the risk with little exposure) they are going to have to do a rethink of the long term investments for the sake of the clients and the small business's that add a lot to the Polish economy.
I myself am in the position of having a small project ready to build eight new flats and the only thing holding me back is whether the banks will lend the money to the people who will want to buy them. The inability of the EU leaders to sort out the problems with the Euro have brought nothing but a fear which has lasted for the past two years and still continues. You may ask how this affects Poland when there has been no collapse of the banking system here, well, until the ECB states that the banks have enough money and do not need further recapitalisation, none of the banks want assets on their books, only liquidity.
Austerity or growth, this is the battle that is being fought in Europe at the moment.