Cracow

Cracow lies at the crossroads of major transport routes, and its favourable geographical location facilitates easy communication. Central to this is the A4 motorway, which provides fast and convenient access to Silesia, Germany, eastern Poland and Ukraine. Cracow’s connection to the world is also facilitated by the modern and expanding John Paul II International Airport in Cracow-Balice, the second largest in the country, which provides direct domestic and international connections to many cities in Europe and other continents. In 2022, Cracow Airport will handle up to 7 million passengers.

Another advantage of Cracow’s location is the well-developed rail network, which allows for fast and comfortable train travel – you can reach Warsaw in 2.5 hours and Gdańsk in 6 hours. Within a few hours you can be in Prague, Vienna, Bratislava and Berlin. The city also offers an extensive public transport network, and there are an increasing number of cycle paths and stations in the city, which, together with the development of electric mobility, helps to make Cracow an attractive place to live.

Karolina Słysz

Associate, Regional Cities, Office Agency, Cushman & Wakefield

Expert commentary

Cracow is undoubtedly an important centre of cultural and educational life, attracting tourists from all over the world with its wealth of monuments, museums and art.

Due to the growing number of residents and tourists, the expansion of the public transport network has become a priority. Numerous bus and tram lines, local train connections and the construction of P&R car parks are designed to encourage people to leave their cars at home. In addition, plans for cycle lanes and electric scooter charging points make it possible to choose an environmentally friendly mode of transport. Proximity to the airport, the A4 motorway and a wide range of train services, including international services, are also an advantage.

The city’s many renowned universities provide a highly skilled workforce, attracting many investors and creating new jobs. As a result, at the end of June 2023, Cracow recorded a record-low unemployment rate of 2%.

The capital of Lesser Poland offers a high quality of life, taking care of its inhabitants, space and environment.

Karolina Słysz

Associate, Regional Cities, Office Agency, Cushman & Wakefield

Expert commentary

The office market in Cracow maintained its leading position among regional cities, with a modern stock of more than 1.75 million sqm at the end of the first half of 2023.

In the first half of the year, the volume of signed contracts amounted to 88,200 sqm. This was one of the highest results among regional cities, confirming that tenant activity in Cracow is not slowing down. New leases accounted for 56% of transactions. Companies are choosing to relocate to modern and environmentally friendly office buildings. The key element is very good communication, high office standards and amenities in the building that could encourage employees to return to the offices. Renegotiations amounted to 32%, while expansions increased to 12%, showing that companies are continuing to expand and see the office as a key factor in supporting this process.

Rents have risen slightly, ranging from EUR 13 to 17/sqm.

The high vacancy rate of 18.4% favours tenants in negotiating financial incentives. For developers and investors, on the other hand, vacancy rates and rising construction and financing costs are hampering the planning of new developments.

The City Hall of Cracow has units within its structure whose main task is to support business entities. Their activities are aimed at all those interested in business development in Cracow. Entrepreneurs can count on the support of the following units

• Entrepreneur Service Point (POP)
• Małopolska Centre for Business Development (MCP)
• Centre for Investor Assistance and Innovative Economy (CWIiIG)
• Polish Development Fund
• Academic incubators
• StartInPoland
• Małopolska Regional Development Agency SA
• Cracow Technology Park
• Małopolska Association of Traders and Entrepreneurs
• Italian Chamber of Commerce and Industry

Cracow is a thriving scientific centre with a large pool of highly qualified personnel for all sectors of the economy. An important measure of investment potential is the number of higher education institutions, the diversity of faculties and the number of students. There are currently 23 higher education institutions in Cracow. The Jagiellonian University consistently tops the lists of the best universities in Poland. It is one of the few domestic universities to be included in the main international rankings.

Cracow is the second largest academic centre in Poland after Warsaw. Among Cracow’s universities, the Jagiellonian University has the largest number of students, accounting for almost 30% of all students in the city.

Edyta Markiewicz

RPO Service Manager, SSC/BPO, Antal

Expert commentary

Kraków’s universities offer innovative educational programmes focused on modern business trends such as entrepreneurship, project management, data analysis, information technology or artificial intelligence. The universities also cater to the needs of the shared services sector, offering specialised programmes in operations management, service outsourcing, data analysis and other fields related to the SSC/BPO sector.

Kraków also stands out for its high educational potential in terms of language teaching. The city offers various educational opportunities that help develop language skills and prepare students to communicate in an international environment. In addition, Kraków attracts many international students due to its reputation as a place with a high standard of education. The city offers numerous scholarship programmes and support for students from other countries.

Kraków is also growing as an industrial and innovation centre, offering graduates new opportunities for employment and collaboration. The city has modern university campuses, advanced laboratories and research centres that support research and innovation in many fields. Companies can use these resources to develop and implement new technologies and solutions. This attracts foreign investors who value access to innovative solutions.

Kraków’s strongest assets are administrative and human resources staff, as well as specialists and managers with language skills. This is a particular advantage for shared service centres that focus on customer service, including language skills, making it possible to effectively employ people to handle business processes in different languages.

Kraków is also a great destination for job seekers. The results of the Barometer survey show that business services are a great way to find a job in Kraków. Corporations and smaller companies are looking for: analysts, testers and ICT system operators, accounting and bookkeeping staff, independent accountants, telephone and electronic customer service staff, pollsters, tele-surveyors, database designers and administrators, programmers, sales representatives and financial specialists.

Edyta Morek

Senior Consultant, IT Services Antal

Expert commentary

As one of Poland’s most important IT centres, Krakow is diverse regarding available specialists. Through a large cross-section of companies, from banks to start-ups, specialists in almost every programming language and area are in demand. It’s where innovators and inventors collaborate to create the future of technology, hiring experts in niche fields such as AI, IoT, machine learning, blockchain, and cybersecurity. With cyber threats on the rise, the demand for cybersecurity specialists continues to grow. Many specialized companies on the market provide services in data protection, threat analysis, security audits and the creation of information protection strategies.

Thanks to its stable labour market, Kraków is an attractive destination for people from other countries looking for better career opportunities and development. It is one of Poland’s largest business and technology centres and attracts specialists from all over the world eager to be included in recruitment processes.

A very interesting solution is the possibility of hiring experts on an outsourced basis. This is an option often chosen by large companies, which prefer to leave formal issues to intermediaries, thus gaining well-qualified specialists. For one of our clients in Krakow, we employ more than 250 employees, and this number is constantly growing, which only shows the real scale of the needs in the IT market.

Kraków is perceived as a favourable location for business and investment due to its many research and development units, skilled workforce and continuous investment. Every year, the city supplies the market with thousands of graduates from faculties that are essential for the expansion of the business services sector, and experienced managers help to create new business centres that open in the capital of Lesser Poland with unflagging dynamism.

• The City of Kraków has once again been awarded the “A for a Golden Municipality!” and “A for a Municipality!” titles, based on the results of annual surveys conducted by the Enterprise
Institute at the Warsaw School of Economics.
• At the MIPIM International Property and Investment Fair in Cannes, Kraków was awarded the highest distinction in the “Business Friendliness” category and placed second in the “Human
Capital and Lifestyle” category.
• The City of Kraków received an award in the plebiscite “On Her Side. Women-friendly local government”.
• The TAURON Arena Kraków won an award at the Stadium Business Awards in the category: Sustainability & Community.
• The European Association of Waste-to-Energy Plant Operators (CEWEP), based in Berlin, awarded the CEWEP Award 2023 to the Kraków Eco-Incineration Plant.

Justyna Czyszek

Wicedyrektorka Działu Obsługi Inwestora, Krakowski Park Technologiczny

Expert commentary

Kraków is a city that never stops growing. At Kraków Technology Park, we are direct witnesses to this process through the management of the Polish Investment Zone programme in Lesser Poland and the many activities of our Technology Park. From the investments of established companies alone, we can see that Kraków is a place for a wide range of sectors. From modern business services, research and development, IT (recent investments include L&T Technology Services Poland, Euroclear or gamedev’s Globant Poland), to manufacturing companies of the so-called “traditional” industry that have been operating in Kraków for years (Krakodlew, Tele-Fonika Kable).

Kraków is also a place for new ideas and ventures. Well-educated graduates, well-prepared infrastructure, such as the investment areas of the New Steelworks of the Future, are the assets of our city that attract investors. For tax breaks on new business ideas, visit the Kraków Technology Park, which has been helping companies grow faster for more than 25 years.

Jan Lewanowicz 

Managing Director, KION Center of Excellence 

Expert commentary

The best testament to Kraków’s investment and business acumen is that in just 18 months we have successfully established two specialist divisions. We have hired 100 skilled purchasing professionals and 100 IT professionals, creating a technology hub for the KION Group. What’s more, some of these people have moved to Kraków from different parts of Poland and even other countries. I believe that we have succeeded in attracting them not only with an interesting offer, but also with an attractive location, which is to our advantage.

Projects of this kind, which we are implementing in Kraków with clear success, build confidence in our headquarters. I have noticed a significant change in attitude, which was much more cautious just a few years ago. Today, Kraków is seen as a suitable location even for highly specialised roles or entire teams. The capital of Lesser Poland is no longer just about saving money, but also about making a valuable contribution to the company’s global operations.

Kraków is considered to be a very good place to live. According to the Survey of the Wellbeing of Polish Residents 2023, Kraków is the third happiest city in Poland. According to the authors of the report, the feeling of happiness can be attributed to the conditions and opportunities that a large city offers its inhabitants. This is backed up by other studies that take into account cultural opportunities, the cost of living and educational options. Kraków’s cultural programme includes major festivals and events in the fields of music, theatre, film, visual arts and literature. Among the events worth mentioning there are Jewish Culture Festival, the International Festival of Music in Old Kraków, the Street Theatre Festival or the International Theatre Festival “The Divine Comedy”.

• In the 2018/19 ranking of the Financial Times report European Cities & Regions of the Future, Kraków was ranked among the top 10 large European cities – business friendly.
• The centre of Kraków is a UNESCO World Heritage Site.
• 190 films from all over the world are screened at the Kraków Film Festival.
• Kraków is one of the richest cities in Central Europe in terms of museum collections, with the Tadeusz Kantor Museum, the Museum/Library of Polish Song and the Museum of the History of Podgórze.