Grünwald, 24.02.2022 – KGAL Investment Management GmbH & Co. KG has acquired the Charles Square Center in Prague, which includes offices, retail, restaurants and healthcare space, on behalf of a pan-European fund. The city centre property with a total of almost 20,000 square metres of leasable space has a roster of international, renowned tenants. The seller was Commerz Real. Prague is the cultural centre of the Czech Republic and, according to a recent survey by a leading international travel magazine, the “most beautiful city in the world”. Above all, Prague is also the economic centre of the country; the capital contributes a quarter of the national economic output. The Czech Republic is also notably the country with the lowest unemployment
Industrial Research Forum Announces Industrial Market Figures for Q1 2021 • Covid-19 has not significantly affected the industrial sector in the 1st quarter, although it has contributed to the faster growth of e-commerce and mail order services • New supply during Q1 2021 has decreased by 57% compared to the 5-year Q1 average • Approximately half of the space currently under construction is in the Greater Prague, Pilsen and Moravia-Silesia regions • In the 1st quarter, a record volume of contracts was concluded totalling 3/4 million sq m of industrial space, more than a third were new leases • Vacancy dropped by 61 basis points compared to the previous quarter and is currently in line with vacancy seen in Q1
Czech Prime Minister Andrej Babis’s plan to lower income taxes risks boosting the prices of homes and other assets, without bringing major benefits for economic recovery from the coronavirus-fueled recession, the country’s budget watchdog said.
Older apartments in the Czech capital are becoming increasingly unavailable. Over the past year, their sale prices grew by nearly 20 percent, Czech Radio has reported. According to data released by the developer Trigema, prices of older apartments in the third quarter of 2019 increased by 18.2 percent year-on-year to CZK 104,864 per square metre.
For years, both rents and real estate prices have been rising quickly and significantly, with rents increasing at a slightly steeper rate. During the volatile first half of 2020, however, house prices seemed unaffected by the pandemic, whereas rents are seeing a declining trend, leading to a 50% year-on-year increase in prospective renters.
Radovan Krejčíř’s luxurious villa in Černošice on V Dubině street, is definitely not on the list of the most desired properties. It has been offered for sale at auctions since 2016, failing to sell yet again on Thursday – now being offered for just one twentieth of the purchase price. The purchase price of the 743 m2 villa is estimated to be 400 million CZK, but on Thursday, the starting bid was set at 21.1 million CZK. The original appraised value was 42.1 million CZK. Despite such a huge depreciation of the property, no one entered the auction. Similar story happened in January this year, when nobody expressed any interest in the starting bid of 28.1 million CZK. The auction
The pandemic hit many markets, but the real estate industry was only minimally impacted. The prices for apartments, land, and houses continue to rise, iDnes.cz reports. In the first 4 months of 2020, prices for flats in Prague and surrounding cities rose approximately by 13% year on year basis, making it the highest growth rate in two years, Expats.cz reports. That brought the prices up to about 65,400 CZK per sqm. Predictably so, the most expensive apartments are located in Prague 1 (159,800 CZK per sqm) and the cheapest can be found in Prague 10 (77,700 CZK per sqm). “The growth rate of house prices slowed down in the second quarter, although flats rose in price in all regions except