Austria Real Estate Market Outlook 2023

Economy

Economic growth in 2023 is forecasted to be -0.3%, yet the labour market is expected to remain stable.

Investment

Rising yields have initiated a repricing process that is not yet fully completed. A lower transaction volume for 2023 is expected.

Office

Low vacancy and completion rates continue to dominate the market, leading to rising rents in all locations.

Retail

Rising costs are dampening the retail sector as well. Discount stores are among the winners of the crisis and continue to expand.

Logistics

2022 was another successful year for the Austrian logistics real estate market and the trend continues. 

Residential

Completions planned for 2023 are at a similarly high level as in the previous year. A change in demand for residential apartments is noticeable.

Hotels

Hotel performance has been showing positive developments in recent months. Budget/Economy hotels and Serviced Apartments increasingly attract the interest of investors.