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Articles - industrial real estate market

Investors' appetite and the amount of their available capital for investment acquisitions remain high

According to the latest Savills report, the volume of investments in commercial real estate in the Czech Republic in the second half of 2020 amounted to 797 million euros, with 60% (ie 478 million euros) of these investments related to Prague real estate.

A new C.S.Cargo distribution center for the European feed manufacturer Partner in Pet Food is being established in Planá nad Lužnicí

C.S.Cargo is preparing a distribution center for the European pet food manufacturer Partner in Pet Food in Planá nad Lužnicí, South Bohemia. The center with a storage area of over 18,000 m2 can hold up to 26,000 pallets and will be served by the latest technology. The planned date of commencement of operations is June 1, 2021.

Cheb distribution centre for Real Digital won Best of Reality 2020 Award

After being named the most environmentally friendly industrial building in the world. The revitalized area of the former Cheb machinery was awarded the Best of Realty 2020 in the Industrial and Warehouse buildings category. Mainly thanks to the sustainable construction on the brownfield using modern technologies and recycled materials. The jury also appreciated the unique rainwater management. Many thanks to our lead partners from Panattoni for the perfect project development.

The Czech Republic is heading for 10 million m2 of modern warehouse and production space

Developers plan to deliver almost 680,000 m2 of new industrial space in the Czech Republic this year. Of this, 350,000 m2 is already under construction. In 2020, more than 650,000 m2 of industrial space was added. That pushed the total supply over 9.2 million m2. Due to the ever-growing demand and activity of developers, a volume of 10 million can be expected in the first half of 2022 at the latest.

Accolade is preparing a robotic center for online shopping at Kojetín

New qualified jobs, development, and economic growth of the locality. These are the main benefits of the cooperation between the Accolade Group and the builders of the Panattoni industrial zones, who are preparing construction corresponding to the latest world trends in online retail and targeting future tenants from the Czech Republic and abroad. Thus, the extensive revitalization of the preserved area of the former settling tanks of the sugar factory in Kojetín in the Olomouc region continues. The complex will be prepared to meet the needs of any major player in the e-commerce sector. The project, worth more than three billion Czech crowns, could offer a maximum capacity of up to 2,000 jobs and should be completed by the end of 2022.

Leases in industrial premises are being extended. This is due to strong demand

The commercial real estate market currently has a shortage of industrial and logistics space and land suitable for their construction. This is mainly due to the growing demand and the fact that municipalities are not motivated by tax benefits for their construction. The situation is most evident in the vicinity of large cities and also affects the growth of rental prices. In addition, it caused a new trend in the form of extension of leases. The first new projects over 20,000 square meters can be expected only in the second half of 2022.

GLP recorded a record number of leases in 2020

GLP announced a record volume of leased space and development activities for the logistics sector in 2020. Globally, the company has already signed more than 22.7 million square meters of new and renewed leases. This means a year-on-year increase of 57 percent. The company also launched $ 5.3 billion in new development projects in 2020 with a total area of 5.6 million square meters, a year-on-year increase of 75 percent.

CTP reports portfolio growth and high occupancy of its properties

European developer CTP recorded 15% year-on-year growth. At the end of 2020, the annual rental income reached 344 million euros (less than nine billion Czech crowns). With its current portfolio of 6.3 million square meters and another 740,000 square meters under construction, CTP has strengthened its position as the largest owner and developer of logistics properties in terms of leasable space in the Czech Republic, Romania and Serbia. The group began expansion into Austria and Bulgaria and launched large investments in Poland.

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