Poland spatial planning reform impacts real estate market

Poland's spatial planning reform is introducing new complexities and costs for the real estate development sector. The implementation of Integrated Investment Plans (ZPI) and urban planning agreements is expected to increase financial obligations for investors and may accelerate industry consolidation, according to Dom Development.

Significant uncertainty persists as over 60 percent of Polish municipalities have not yet adopted general plans. This lack of planning prevents the initiation of new projects on land without local plans and delays the use of ZPI procedures. While cities like Warsaw, Gdańsk, and Łódź have presented plan drafts, others such as Kraków and Rzeszów have not yet reached this stage. Consequently, land valuation is increasingly being driven by legal status and project feasibility rather than just location.