WIEDEN
Investment property prices Yields
EUR 4,000 to 7,700/sqm 1.3 to 2.3 %
Monthly rents (net) in EUR/sqm
Apartments Offices Retail space
Ø 13.70 10.0 to 20.0
15–30
A locations B locations
5–12
The small but nice investment property market in middle-class Wieden has out- performed the market in this mostly difficult environment. A number of properties changed hands – an atypical happening in the current situation but a trend that was supported, above all, by unrealised development potential. 4., Wieden
Focus on top locations near the Karls- platz and city centre
The most remarkable transaction was the sale of a large property near Schwarzenbergplatz to Austrian private investors for nearly EUR 30 million. This category also included the sale of a historic office building at a central location on Wiedner Hauptstrasse to an Austrian real estate developer. The Wiedner Hauptstrasse and Favoritenstrasse traffic axes still hold opportunities for developers and investors because of the impulses expected over the medium and long term from attractive new construction projects. The upgrading of loca- tions near the beltway and the hotspot at Vien- na’s Central Railway Station is largely complete. This is also the case for the particularly popular residential areas near the Naschmarkt open-air market and the Freihaus Quarter.
The investment property market in Wieden is still heavily influenced by a very long-term ownership structure and, in boom times, often falls behind the general upward trend. However, this stable structure proved to be an advantage in 2022 and played an important role in holding price declines below the Vienna average. The current price span of EUR 3,500 to 5,500/sqm has remained nearly unchanged at the lower end in year-on-year com- parison, but without the few previously recorded, higher exceptions. Yields range from 2.0 to 2.8 per cent and reflect the average of the centrally located districts.
„Long-term oriented owners are the guarantee for stability.“
The market in Wieden is concentrated on smal- ler transactions as well as properties that are not fully developed but still have a potential, at locations south of Karlsplatz close to the city centre.
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