Hungary Investment Figures Q1 2023

Not surprisingly, Q1 property investment volume in Hungary came to a mere 70 million EUR, down by 2/3 on same period last year, marking the lowest turnover since 2014. Despite the very weak start into the year, our realistic forecast for the year is now at 1 billion EUR. The overall pipeline is estimated to reach 1.5 billion EUR; however, it is highly uncertain when these potential sales can turn into actual deals.

Budapest prime yields are under pressure due to global trends and are quoted by 75-100 bps above their levels a year ago. We quote 5.75% for high-street assets, 6.35% for offices, 6.50% for industrial & logistics and 7.25% for hotels as prime yields in Budapest.