G City received a building permit for the first phase of an expansion at the Promenada mall in Warsaw, Poland, the company said on January 5. The €10 million project will add 6,000 sq.m. and is slated to begin in the first quarter of 2026, with completion targeted for early 2027. The expansion is part of the group’s asset-enhancement program in Poland, the company said.
G City, formerly Gazit-Globe, is a Tel Aviv-based real-estate group focused on urban, daily-needs shopping centers, with a significant share of assets in Europe.
The phase centers on a 4,000 sq.m. Primark flagship, alongside new supermarket and electronics anchors. G City guides to more than €1 million in additional annual NOI and roughly 1.5 million extra visits per year.
Construction is scheduled to start in Q1 2026 and finish in early 2027. If delivered on time and stabilized as indicated, phase-one metrics imply a double-digit yield on invested capital, subject to fit-out milestones and operating cost trends.
“This permit is a significant milestone in our strategy to strengthen core assets in Europe and in Poland in particular,” said Keren Kalifa, deputy CEO of G City and CEO of G City Israel. The company expects the Primark flagship to lift Promenada’s regional pull and visibility.
Next phases and neighborhood pipeline
Subject to permits, Warsaw is planned as a three-stage program totaling about 18,000 additional sq.m. of retail and F&B, plus an adjacent residential project of roughly 400 units for sale. Nearby, the group recently completed about 440 rental units that are fully leased, with further housing planned, the company said.
Primark has expanded its Central and Eastern Europe presence, including a 2025 opening in Budapest that attracted strong footfall. The retailer has also introduced accessibility measures such as sensory-friendly shopping hours, reflecting a focus on customer experience that can support destination traffic.
In Israel, the group continues to curate its retail platform. For example, on a new Moses Shop branch at the G City Savyon center, underscoring tenant activity across the portfolio.
The company projects the Promenada expansion will add roughly 1.5 million visits annually.