ARTICLES LABELLED WITH TAG Prague

Cushman & Wakefield have newly become the manager of two Class A office buildings: Keystone in Prague 8 and Smíchov Gate in Prague 5. Both properties are situated in locations popular on the office market where lease volumes have been the highest this year. Prague 5 accounted for 16% of the total volume and Prague 8 for 15%.

Skanska invests €27 million in the office project Praga Studios in Prague. The seven-floor building will offer a total leasable area of about 12,000 square meters. Construction has begun and the office building is scheduled for completion in Q2 2019.

Free office space is dwindling in the Czech Republic. The office vacancy rate in Brno, as well as in Prague, has slipped below 10%. Both cities experience the lowest rate of vacant offices in the last decade. Brno recorded a sharp decline by 2.4 percentage points in H1 2017, while in the capital demand totalled 153,500 sqm in Q2 2017, up 45% on the previous quarter and 36.9% year-on-year. Overall, more than 370 deals were closed in Prague in H1 2017, many of which were pre-leases. In contrast, in Brno there was an 8% drop in lettings compared to H2 2016.

Skanska has acquired the Key office project in Prague’s Pankrác district from ČSAD Praha Holding for an undisclosed sum. The developer plans to start construction works before year-end.

High demand for new premises and steady new supply are pushing the Prague office market vacancy rate down. According to JLL’s latest report, the vacancy rate currently stands at 8.6 %, being one of the lowest levels in the history of the market.

Savills has been appointed by Immofinanz to property manage a portfolio of four office buildings in Prague. The portfolio includes myhive Pankrác House, Jindrřišská 16, Jungmannova 15 and Airport Business Center, accommodating over 70 tenants including: OMD Czech, GrECo JLT, Customs Office Prague, CPL Jobs and others. 

Gross take-up on the Prague office market in the second quarter of 2017 amounted to 153,500 sqm, representing an increase of 45.0% compared to the previous quarter and an increase of 36.9% in year-on-year comparison. The Prague Research Forum announced the office market figures for Q2 2017. 

The EPISO 4 opportunistic fund, advised by Pan-European real estate manager Tristan Capital Partners, has acquired the Avenir Business Park office complex in Western Prague from debt restructuring firm Lone Star.

Mint Investments, a Central European real estate investment & asset manager acquired the International Business Center (IBC) in Prague on behalf of a syndicate of private investors. The buyer was AEW Europe, a multi-national real estate asset manager, with over €60 billion of assets under management. AEW was advised by CBRE, Havel, Holásek & Partners and Mazars. Mint Investments were advised by Mareš Partners and EY.

Colliers International has announced the off-market sale of two industrial properties in the Czech Republic by Red Group for a total consideration of almost  CZK 1 billion, in yet another sign of the growing attractiveness of Czech industrial real estate to investors.