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One of the most critical decisions that every developer has to make is what location will be the best for his investment. This depends on different factors that change over the years. Therefore, the aim of the article is to identify and assess tendencies in the location of developers’ investments based on the example of the activity of Łódź developers. In the past, the share of investments on outskirts was more significant, which in the case of Łódź resulted from several reasons – mainly the small number of local plans, the abuse of planning decisions, and low land prices on the outskirts. Therefore, the current tendency of locating a significant part of investments in the city centre seems to be a very positive phenomenon. It reduces the costs of these investments and creates a more compact urban built-up area.

Location tendencies in developer investments in the residential market in Łódź