Trends in the commercial real estate market in Kyiv.

CBRE Ukraine’s research for the second half of 2024 shows that retail turnover in Ukraine increased by 13% year-on-year. However, consumers continue to face a challenging economic situation, and austerity measures are hindering a full cost structure recovery.

At the same time, the retail sentiment index in December reached 29.8 points, the highest level since the onset of the war. Yet, last year no new shopping centers opened in the Kyiv market, keeping the total competitive shopping center supply at 1.59 million square meters. Consequently, the volume of new supply has hit a ten-year low, reflecting the lowest level of shopping center development in the past decade. Currently, Ocean Mall is the only major project scheduled to open in 2025.

The commercial real estate market is anticipated to enter a more active recovery phase in 2025. Retail sales are expected to continue growing, but inflation, limited purchasing power, and ongoing security uncertainties continue to burden the market, hampering the pace of recovery.