Published:18.08.2023
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Colliers: Market of industrial real estate in the Czech Republic grows by 11%

Construction in and around Prague is slowing down due to a shortage of land. Karlovy Vary Region represents 26% of all industrial construction. Rental prices have fallen slightly after two years of growth.

The Czech industrial real estate market grew by 269,100 m2 in 1H 2023 and reached almost 11.3 million m2. The year-on-year growth is 11%. Nearly 1.5 million m2 is currently under construction. They are expected to be launched on the market in the next 6-18 months. The vacancy rate is currently 1.71%.

Colliers' research also shows that construction in and around Prague is slowing down due to a shortage of land and more complicated permitting. In other regions, construction is booming: 26% of all construction is taking place in the Karlovy Vary Region, 13% in the Plzeň Region and 12% each in the South Moravian, Ústí nad Moravskoslezsky Regions.

Rental prices have fallen slightly after two years of growth. In Prague they are EUR 7.50-7.80/m2/month. It can be expected that prices will decrease and stabilise at EUR 7.00-7.50/m2/month.
 
Source: Daily news | ČIA news
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