Czech Investment market H1 2019 - overview
Real Estate and Consulting Company Professionals Ltd. informs about the state of the Czech investment market in H1 2019.
In the first half of 2019 commercial real estate buyers invested a high amount of around 1,770 million euro in the Czech properties. Office investors without doubt contributed the largest amount to the total 2019 H1 investment volume. The key office transaction of 2019 H1 was the sale of five office buildings in the Waltrovka complex situated in Prague 5.
Hotels also set a record in the first half of 2019. The second largest transaction was registered in the hotel segment; R2G bought Hotel Intercontinental situated in Prague 1 for roughly 225 million euro.
Prague office market Q1 2019 - overview
Real Estate and Consulting Company Professionals Ltd.. informs about the state of the Prague office market in Q1 2019.
The first quarter of 2019 brought to the Prague office market 30,500 m2 of new A class office space representing roughly 1/5 of the 2018 total supply. As of the first quarter of 2019 there was approximately 326,500 m2 of office space under construction in the capital city. The largest building under construction remained CSOB Bank II (30,000 m2) situated in Prague 5. Over the last years the office market in Prague has registered declining vacancy rate, which in the first quarter of 2019 dropped below the 5% threshold standing at only 4.3 %. Total vacant office space as of 2019 Q1 amounted to 153,500 m2, 14 % down on the previous quarter 2018 Q4.
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Prague residential market 2018 - overview
Real Estate and Consulting Company Professionals Ltd. informs about the state of the Prague residential market in 2018.
In line with the decreasing trend the Czech Statistical Office recorded in the past years, the 2018 year saw again a y-o-y drop in total number of issued building permits (almost 22 % y-o-y).
In comparison with 2017, the total amount of newly completed Prague′s apartments in 2018 decreased by 556
In 2018 H2, the apartment asking price index further rose in all monitored locations - the Czech Republic, Prague and the Czech Republic without Prague.
Throughout 2018 the average mortgage interest rate in the Czech Republic was increasing reaching 2.91 % in the last month of the year.
Report| Residential Market 2018
Czech Investment Market 2018 - overview
In Q4 2018 Czech investment market sees largest transaction in recent years
Investment deals closed just in the last quarter of 2018 contributed over €1.25 billion to the total figure, representing 1/2 of all 2018 transactions. The most important investment transaction of 2018 was undoubtedly the sale of CPI industrial portfolio in the fourth quarter of the year. The acquisition of three premium CTP parks, which are comprised of 36 industril and warehouse properties (430 000 m2), is one of the largest transactions in the history of the Czech investment market.
December followed with the sale of the Forum Karolina shopping centre in Ostrava. The largest retail transaction of the year was credited to Reico.
In 2018 Q4 the most active segment was industrial real estate.
Pražský trh kancelářských prostor 2018 - shrnutí
The Real Estate and Consulting company Professionals Ltd. informs about Prague office market in 2018.
In total over 149,000 m2 was completed in 2018 representing a 10% increase when compared to the previous year 2017. New office space availability decreased from 40,600 m2 (supplied in 2018 Q3) to 28,400 m2 completed in 2018 Q4.Two new projects were added to the A class office space in 2018 Q4. The largest of new completions was Building A in BB Centre with ca. 21,400 m2 situated in the Pankrác – Michle hub (Prague 4). There was also completed administrative building called City Element in the last quarter of 2018, the scheme comprises 7,000 m2 of office space and it is also located in Prague 4 in the Pankrác – Michle business hub.
Existing stock in the capital city continued to be dominated by A class office space. At the end of 2018 total Prague office stock stood at approximately 3.5 million m2.
Prague office construction remained active with over 342,000 m2 under construction in 2018 Q4. Almost 206,000 m2 of new supply is expected to come to the market just in 2019. In 2018 Q4 here was a strong development activity in the Prague 8 district as well as in Prague 5.
Prime rents in CBD stayed unchanged q-o-q and ranged from 20.50 to 22.00 € /m2/ month in 2018 Q4. In Inner City prime rent was between 14.50 – 16.50 € /m2/ month and in Outer City in the range of 13.00 to 15.00 €/m2/ month.
Vacancy rate continued to decline at the end of the year reaching only 5.0 % representing a decrease of 110 basis points in comparison to the third quarter and a drop of 250 basis points on 2017 Q4.