• Covid-19 has not significantly affected the Industrial sector in the 4th quarter, although it has contributed to the faster growth of e-commerce and mail order services
  • Modern industrial stock in the Czech Republic surpassed the milestone of 9 million sq m
  • Almost half of the space currently under construction is in the Pilsen and Moravia-Silesia region
  • In the 4th quarter, more than half a million sq m worth of space was leased, out of which almost 2/3 were newly leased premises
  • Vacancy dropped by 42 basis points compared to the previous quarter and is currently in line with vacancy seen in Q4 2019, providing proof of the resilience of the Industrial market.

Take-up in Q4 2020 totalled 355,500 sqm, showing a significant increase of 118% q-o-q and even 5% increase y-o-y. Total Leasing Activity saw also a large increase of 76% q-o-q and 24% y-o-y. Net demand in the fourth quarter was driven mainly by distribution companies, which accounted for 49% of the total volume, they were followed by logistics companies which accounted for 24%, manufacturing sector with 23% and 14% of the total volume were undisclosed companies. During the entire year of 2020 more than 800,000 sq m were newly leased premises, this represents a 26% decrease compared to 2019. In terms of Total Leasing Activity there was only a 6% decrease compared to 2019 volumes of 1,62 mil. sq m.

The largest new transaction in Q4 2020 was a pre-lease of 74,000 sq m in Contera Park Ostrava D1, signed by an undisclosed company from the retail sector. The second largest transaction was a pre-lease of 36,000 sq m in GLP Park Praha ChrášŇ•any singed by an undisclosed company from the e-commerce sector. Prime rents remained unchanged and stood at 4,90 €/sq m/month. 106,100 sq m in 9 halls across 6 regions were delivered to the market in Q4 2020, 90% of this space is already occupied. More than 344,000 sqm is currently under construction out of which 69% is pre-let.