Trends in the growing Hungarian real estate development market are presented at the world’s leading real estate development exhibition

The main exhibitors include such leading industrial real estate developers as Innovinia (IGPark), HelloParks (Futureal Group), and INPARK from the state side, which highlights the industrial potential of rural cities. Debrecen represents the power of the countryside. WING and Faedra Group will bring their flagship real estate developments to the prestigious international review, presenting them in several asset classes. Gránit Alapkezelő, a significant player in the Hungarian fund management and asset management sector, will also be present among the exhibitors.

Ernő Takács, president of the Real Estate Developers Roundtable Association (IFK), the largest organization of domestic real estate developers, reminded us that  the past four years have been one of the most difficult periods in Europe’s economic history. The war, the energy market shock, the damage to global supply chains and the Brussels sanctions policy have combined to create an environment in which investment sentiment has declined across Europe. However, despite the negative external conditions, Hungary has been able to increase the inflow of working capital, reaching new records in the development of the logistics market and the volume of new jobs. The annual real estate investment turnover was around 600–650 million euros, but in addition, around 300 million euros of transactions were made on currently non-income-producing (vacant) properties, so the total transaction activity is around 900–950 million euros, which reflects strong investor interest. This is also a qualitative turn: a significant part of the investments are related to high-value-added industries, technological and logistics infrastructure, and complex urban development projects.

Industrial and logistics market at historic high

The President of the Hungarian Chamber of Commerce and Industry called it a significant achievement that, despite the weak external economy, the Hungarian industrial and logistics real estate market reached a historic high in 2025. According to CBRE data, tenant demand rose to over 1.1 million m², an increase of more than 30% compared to the previous year. In 2025, new rental warehouse space again reached nearly 480,000 m², which is slightly below the record values ​​of over half a million m² in recent years. 70% of this volume was concentrated in the capital area. However, development activity is strengthening again, as the volume of projects under construction nationwide approached 600,000 m² by the end of 2025. This total volume is scheduled for 2026, which would represent a 25% increase in annual deliveries and would make 2026 the strongest year in the history of the industrial and logistics construction market. The vacancy rate has been stable at around 13% nationally, and even lower in rural areas.

Tourism and hotel market – following in the footsteps of regional competitors

Tourism is an increasingly strong leg of real estate developments. Hotel investments accounted for around 15% of the total transaction volume last year, and according to market expectations, this proportion may remain in 2026. The hotel development wave in Budapest remains brisk, with nearly 3,000 rooms under construction, which are expected to open between 2026 and 2029, and around 2,000 more rooms in the planning phase. In 2026 alone, 13 new hotels are expected to open in the capital, which will expand the supply by approximately 2,000 rooms – the IFK president listed.

 Waiting and see in the office market

The recent period in the office market has been more about waiting and see, but at the same time, the relocations of the public sector have already noticeably increased demand. Investor interest is selective: there is a revival in premium city center locations, while classic offices are in a more difficult situation. In parallel, interest has reappeared in the retail real estate market, especially in retail parks. The total modern retail stock expanded by nearly 50,000 m² in 2025, of which 16,000 m² were handed over in Budapest. A new shopping mall has been completed in the capital, the Zenit Corso shopping mall opened in Zugló with 11,000 m², as a convenient retail element of the new, mixed-use complex, dominated by approximately 150,000 m² of government offices. This year, a similar volume of new retail space is being built, mostly in the n