{"id":17222,"date":"2024-07-29T12:01:53","date_gmt":"2024-07-29T12:01:53","guid":{"rendered":"https:\/\/officeguide.cz\/?p=17222"},"modified":"2024-07-29T12:01:55","modified_gmt":"2024-07-29T12:01:55","slug":"office-market-news-q2-2024-prime-rent-in-prague-city-centre-reaches-30-eur-sq-m-month","status":"publish","type":"post","link":"https:\/\/officeguide.cz\/en\/office-market-news-q2-2024-prime-rent-in-prague-city-centre-reaches-30-eur-sq-m-month\/","title":{"rendered":"Office market news Q2\/2024: Prime rent in Prague city centre reaches 30 EUR\/sq m\/month!"},"content":{"rendered":"\n

– Total office space in Prague<\/strong> was 3.95 million sqm<\/strong> at the end of June. Several buildings were completed in Q2 2024. Within the Hagibor <\/strong>project in Prague 10, developer Crestyl completed two buildings, Hagibor 01 <\/strong>(which is fully occupied by Czech News Center) and Hagibor 02<\/strong>. In addition, the Rohan City<\/strong> project has completed the A1<\/strong> building and the last completed building is the reconstruction of Pal\u00e1c Dunaj <\/strong>in Prague 1. In total, 43,900 sqm of space has been added, with approximately 14,700 sqm still to be completed by the end of the year.

– 166,300 sqm<\/strong> is currently under construction<\/strong>. New construction has started in Prague 4 in the Brumlovka<\/strong> complex, where a new multifunctional Hila<\/strong> building with 19,700 sqm of office space is under construction, and as part of the Sm\u00edchov City project, the second stage of construction, Sm\u00edchov City South<\/strong>, was launched in June, where construction has started on a total of 7 office buildings (119,200 sqm), of which 4 buildings with a total office space of 75,000 sqm will be owned by \u010cesk\u00e1 spo\u0159itelna, which will have its headquarters there. 80,300 m2 <\/strong>of office space is expected to be completed in 2024<\/strong>. In 2025, only 43,100 m2<\/strong> should be completed.

– The vacancy<\/strong> rate increased slightly, with over 311,000 sqm<\/strong> of vacant space in Prague at the end of Q2. Quarter-on-quarter, the vacancy rate increased<\/strong> by 44 basis points to 7.9%<\/strong>. Year-on-year by 92 basis points. If we add the “grey vacancy”<\/strong>, i.e. space offered for sublease, the vacancy rate in Prague would be 9.4%<\/strong>.

– Net absorption, or change in occupancy, increased by 23,100 sqm<\/strong> quarter-on-quarter, mainly due to new projects that were successfully let at the time of completion or shortly after completion.

– Total take-up<\/strong> in the second quarter was 220,600 sqm<\/strong>, of which net take-up (excluding renegotiations) was only 130,700 sqm<\/strong>. As the total demand includes owner-occupied transactions, this volume also includes the \u010cesk\u00e1 spo\u0159itelna<\/strong> transaction (75,000 sqm), which was reflected in both total and net demand (without renegotiations). Renegotiations accounted for 38% of the total demand. If the total demand is ‘netted’ of the \u010cesk\u00e1 spo\u0159itelna transaction, renegotiations<\/strong> would represent 58%<\/strong> of the total demand. The largest transaction in Q2 was the pre-letting of \u010cesk\u00e1 spo\u0159itelna
(75,000 sqm) in a complex of 4 buildings within the Sm\u00edchov City South project, followed by Vodafone’s renegotiation (and space reduction) in the City West C1 building in Prague 5 (10,000 sqm).

– Prime rents in the city centre<\/strong> increased slightly to EUR 30.0\/sqm\/month<\/strong>, in the Inner City<\/strong> they were around EUR 18.50\/sqm\/month<\/strong> and in the Outer City<\/strong> EUR 15.00\/sqm\/month<\/strong><\/p>\n\n\n

\n\t

download – marketbeat q2 2024<\/a><\/p>\n<\/section>\n\n","protected":false},"excerpt":{"rendered":"

– Total office space in Prague was 3.95 million sqm at the end of June. 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