6,000 properties being designed, 4 new investments delivered to customers, a number of apartments offered increased to 2,300, and an occupancy rate of 99% - these are the results presented by Resi4Rent, the largest private company offering subscription-based apartments in Poland, to sum up the year 2021.

The past year closed with some major changes on the market; the changes which had a significant impact on consumer decisions and contributed to the strong growth of institutional rental in Poland. One of these changes is the rapidly growing inflation – according to GUS data, in December 2021 the price index of goods and services reached the level of 8.6%, and the average inflation in 2021 was 5.1%. For this reason, interest rates were also increased several times (from 0.1% in January to 1.75% in December 2021), which translated into an increase in loan installments and a decrease in Poles' creditworthiness. Along with the increased inflation, the prices of building materials went up – by an average of 23% in all groups. Due to the reduced supply of land, the prices of available plots increased, too. In most large cities, the price of land increased by double-digit values over the past year, e.g. in Warsaw by 18%, and in Krakow by 36%. All these factors have influenced apartment prices, which went up in some cities by as much as 20% compared to the previous year. ^[1] In response to the market situation, experts expect increased activity on the rental market in the coming months, not only among people who have been interested in such a form of residence so far, but also among those who will not be able to afford the purchase financed with an expensive loan, and especially the purchase of real estate for cash. Currently, over 25,000 flats for institutional rental are under construction or at the preparation stage. According to the forecast development, over 90 thousand premises will be delivered to the market in the next 5-7 years. Demography also works to the advantage of this market sector – younger generations appreciate mobility, financial independence, and thus – a flexible housing offer tailored to their current needs.

In 2021, Resi4Rent, an entity offering rental in the form of the so-called subscription, implementing investments in partnership with Echo Investment, won the leading position in the PRS market in Poland. Last year, the company introduced nearly 1,100 comfortable, subscription-based apartments to the market. Compared to the previous year, the company's offer has increased by almost 100% and it currently has 2,300 comfortable premises for rent in excellent locations in Gdańsk, Łódź, Poznań, Warsaw and Wrocław, and soon also in Kraków. Moreover, there are currently approximately 6,000 properties being designed.

- The past year was a great success for us, we almost doubled our portfolio by delivering 1,100 apartments in new investments in Warsaw in Suwak and Taśmowa Streets, as well as in Gdańsk in Kołobrzeska Street and in Poznań in Św. Wawrzyńca Street. Our facilities have attracted mainly people who appreciate the quality of the premises, the freedom to use it and the time savings resulting from the ongoing support of the administrator. All our apartments are offered with a guarantee of fixed terms and conditions, without intermediaries and without hidden costs. Institutional rental’s growing popularity confirms that such an offer is expected, especially in large cities – says Sławomir Imianowski, President of Resi4Rent.

The company also noted a dynamic growth of interest in its offer. At the end of December 2021, Resi4Rent had a total of 2,277 active rental agreements in 8 investments in Warsaw, Wrocław, Łódź, Poznań and Gdańsk. The occupancy rate has remained at the level of 99%. Following this high interest in the company’s offer, new investments are fully rented within 3 to 8 months on average, after they are placed in service.

- The demand in the PRS segment last year was shaped mainly by young people. The largest age group, which accounts for over 76% of Resi4Rent's customers, covers people who are under 34 years of age. They are students of the last years of universities, people representing specialist professions and foreigners. The customers select premises depending on their age, career stage and family situation. Thus, Resi4Rent has developed three optimal apartment standards to be offered. A Studio standard apartment is most often chosen by students and young people starting their professional careers. Specialists, people in managerial positions and single people select Comfort standard premises, while young families and foreign clients moving to Poland appreciate the Family type apartments. The offer of Resi4Rent also includes luxury penthouses on the top floors of Browary Warszawskie, which are selected, among others, by companies for their management. Most tenants prolong their contracts for the following years, and the flats returning to the market attract new residents within an average period of no more than 2 weeks. Currently, every 10th customer comes to us after the recommendation of their friends or family. The tenants increasingly appreciate the freedom offered by renting on partner terms, including the possibility of changing the apartment size and location depending on their needs or current workplace, or the possibility of living in the area where buying a flat would be beyond their reach – says Alicja Kościesza, Resi4Rent sales & marketing director. 

The past year has shown how important it is to adapt the corporate rental offer to the customers’ new requirements. In the era of the pandemic, important factors in the decision making process cover, among others, a possibility to conclude a rental contract for several months, flexible selection of the apartment size, including an option to change the premises during the term of the contract to a larger or smaller one or situated in a different location, as well as the optimal price and administrative and technical management in each building.