IKEA extending lease at SEGRO Logistics Park Prague
Vít Zdráhal, Head of Landlord and Tenant Representation in the Industrial team, Cushman & Wakefield: “Vacancy on the industrial property market now reaches one of its historic lows in the greater Prague area where there is an utter lack of premises to lease. SEGRO Logistics Park Prague is an ideal place within the broader Prague district, with great accessibility thanks to the nearby R6 highway exit.”
Michal Štěrba, Fulfilment Unit Operations Manager for IKEA in the Czech Republic, Hungary and Slovakia: “We have decided to prolong agreement for three years, so there is positive message towards our customers, because they continue in picking their orders up in the same location. Moreover, we are also increasing the number of non-branded pick-up points in our regions. Our customers can arrange delivery and collecting their orders in Hradec Králové, Liberec, Zlín, České Budějovice, Plzeň, Olomouc. Recently we have launched new mobile dispensing points in the Moravian-Silesian Region, specifically in Karviná, Frýdek-Místek, Havířov and Třinec.”
David Plzak, Associate Director, Development, Czech Republic SEGRO: “We are delighted that IKEA decided to trust us again and appreciates the quality of our warehouse space and logistics park services. In the era of dynamic e-commerce growth and increased focus on positive customer experience, companies such as IKEA may have an increased demand for warehouse space to streamline their supply chain and efficient business operations. Additionally, a warehouse facility tailored precisely to the needs of an entrepreneur allows for optimization of work and operating costs.”
Regardless of the problems that the measures related to the coronavirus crisis have brought to the retail segment new brands keep coming to the local market. Nine of them have arrived or will arrive during the first half of the year, the most prominent one of them being Ireland’s Primark fashion chain.
Bluehouse sold the Korso Karviná shopping centre (in the Northern Moravian region of the Czech Republic) to Conseq Investment Management in this year’s first shopping centre transaction on the Czech market.
The Czech real estate fund Trigea bought the Explora Business Centre office building in Prague’s Nové Butovice from Golden Star Group, an international real estate group, in one of the largest real estate transactions performed this year.
A total of 260 million euros was invested in commercial properties in Czechia in the first quarter of this year; this is roughly 9% less than in the same period last year. Following a period of waiting, the mood among investors is optimistic again, with great interest in buying and a high amount of capital on the market. Nevertheless, transaction activity is low – there is a shortage of real properties for sale. The development in Prague is low across the sectors. This can be a benefit for those seeking to buy – new projects face low competition. In effect, investors’ demand for Prague is huge and logistic properties are an obvious favourite. With almost no vacancy, rents are growing steeply, thus reducing yield and pushing prices dramatically upwards.
A total of 23 retail park projects with a total area of almost 55,000 square metres were completed in the Czech Republic last year, with the volume of development exceeding a ten-year average. In effect, the aggregate area of all retail parks in the Czech Republic has exceeded one million square metres.
Cushman & Wakefield, a leading global real estate services firm, has analysed the trends in the industrial property sector in five Central European countries (Czech Republic, Hungary, Poland, Romania and Slovakia) in 2020, and the principal findings are as follows.
In 2020, the office market in Brno saw a decline in all indicators that Cushman & Wakefield has monitored in the long-term perspective: the number of projects completed and under construction decreased, as did the absorption rate and demand for space.
In this year´s CIJ Awards Czech Republic, Cushman & Wakefield Retail Agency team was awarded the Best Retail Real Estate Agency, confirming its leading position on the local market.
The latest STR figures show that the Prague hotel market has borne the brunt of the coronavirus crisis in Europe.
With 25 brands, Czech Republic is again the prime destination for international retail brands coming to the CEE , followed by Poland with half as many newcomers.
Cushman & Wakefield, a leading global real estate services firm, has entered into a partnership agreement with leading building technology advisor Future2.
The great majority of shopping centres should reopen on Thursday 3 December. The footfall and revenue figures show that customers have not given up on visiting shopping centres in the long-term perspective or changed their shopping habits dramatically.