Warsaw to spend 2.3bn PLN on municipal housing as Poland's commercial real estate undergoes overhaul

Warsaw will invest more than 2.3 bn zł to add over 4,000 municipal apartments (TBS) across the city. The new buildings, constructed by TBS Warszawa Północ and TBS Warszawa Południe, will be located on streets such as Kłobucka, Pomorska, Połczyńska and others. They will feature energy‑saving technologies, renewable‑energy sources and accessibility for people with disabilities. The units are intended for city residents who pay local taxes, meet income criteria and do not own another property, according to Marek Goluch, head of the municipal Local Policy Office.

At the same time, Poland’s commercial real‑estate market is entering a deep restructuring phase. Older office blocks and shopping centres, which account for up to 77 % of office stock and one‑third of retail space, are losing competitiveness. Owners have three options: modernise the buildings, convert them to residential, student‑housing or hotel uses, or demolish them for new construction. Dominika Jędrak of Colliers notes that conversions can boost rents by 10‑25 % and shorten project timelines, addressing a nationwide housing shortfall of around 1.3 million people.