Total offer of industrial space in the Czech Republic
The total area of modern industrial space for rent in the Czech Republic rose to 7.97 million m 2 in the first quarter of 2019 . In the first quarter of 2019, a total of 168,300 m 2 of warehouse space was completed in 13 industrial parks in the Czech Republic. Compared to the same period of the previous year, this is a 21% decline and a 3% decline between quarterly.
The largest completed project is Ostrava Airport Multimodal Park with a total size of 56,300 m 2 , which is already approximately 65% leased. The second largest completed building is located in the GoodmanIndustrial Park Mladá Boleslav Logistics Center (23,500 m 2 ), which is fully leased to an unpublished manufacturing company. The third largest completed project was the second part of the hall at Panattoni Park Prague Airport II of 21,700 m 2 for the Panalpina logistics company.
Panattoni Park Prague Airport II
Projects under construction
At the end of the first quarter of 2019, a total of 521,700 m 2 of storage and production space was under construction , with 18% of which is located in Prague and its immediate vicinity. Construction of halls with a total area of 202,400 m 2 was launched in 2019 . Approximately 39% of the total space currently under construction is expected to be completed in the second quarter of 2019. The share of industrial space under construction without a pre-hedged tenant increased slightly to 56% in 2019.
Realized demand
Gross realized demand (including renegotiations) totaled 384,700 m 2 in the first quarter of 2019 and increased by 24% compared to the previous quarter. Compared to the first quarter of 2018, demand decreased by 6%.
Net demand totaled 277,400 m 2 in the first quarter of 2019 , up 48% from the previous quarter. The year-on-year increase was 53%. The main driver of new demand in Q1 was mainly manufacturing companies, which accounted for 57%. The share of renegotiations during the first quarter of 2019 was 28% of gross realized demand.
Significant leases within demand
The biggest new transaction in the first quarter of 2019 was in the Finapra industrial park Mnichovo Hradiště, where DB Schenker logistics company leased a total of 18,500 m 2 . The second largest rental transaction was the lease of a hall in Prologis Park Prague D1 West II, which was concluded by the logistics company DHL Supply Chain. The largest 22,000 m 2 renegotiation was signed by a non-public logistics company in Prologis Park Prague D1 West.
Prologis Park Prague D1 West II
Vacancy
At the end of 2019, the vacancy rate in the Czech Republic was 4.8%, up 41 basis points from the previous quarter. At present, there are 380 300 m 2 of modern industrial space on the market ready for immediate occupancy . Vacancy of industrial premises in Prague and its immediate vicinity reached 4.1% at the end of the year.
Rent
The highest prime headline rentals in the Czech Republic rose slightly during the first quarter of 2019 to EUR 4.60 / m2 / month . The rent for office equipment is EUR 8.50 - 9.00 / m2 / month. The usual service charge is between EUR 0.50 - EUR 0.65 / m2 / month.
Information on the Industrial Research Forum - The Industrial Research Forum was established in 2010 to provide the most complete, accurate, and transparent data on the development of the Czech warehouse and manufacturing real estate market. Members of the Industrial Research Forum, CBRE, Colliers International, Cushman & Wakefield, and JLL share basic market developments and believe that setting up the Industrial Research Forum will contribute to improving market transparency.
Source / photo: www.retrend.cz / Jones Lang LaSalle sro / Title photo - Ostrava Airport Multimodal Park (OSTRAVA AIRPORT MULTIMODAL PARK sro)
