ERA sizes Baltic rental market
05 October 2021
The European Rental Association (ERA) has estimated the Baltic States rental market to be worth €290 million in 2018, with Lithuania the largest market.
The association is forecasting that rental in the Baltics will grow by 8.9% this year following a 2.2% decline in 2020 as a result of the pandemic year. Growth is expected to moderate to 5.6% in 2022.
The ERA and its consultant, IHS Markit, valued the rental markets of the three countries as follows: Estonia €100 million, Latvia €85 million and Lithuania €105 million. The estimates are based on Eurostat data for 2018, the most recent year for which data is available.
ERA said the rental markets in the three countries were heavily dependent on construction, with the market 75% driven by construction.
More mature rental markets, such as the UK, would see more diversified drivers, with construction responsible for between 50% and 60% of rental activity.