Prague City Report Q City Reports

Transcription

1 Prague City Report City Reports

2 Retail Sales, May 2016 y-o-y change GDP Growth Q Inflation June 2016 y-o-y change Unemployment rate, Czech Rep., June 2016 Economy & Investment Economy Investment Activity: International vs. Domestic H % 0.3% 5.2% International Domestic Purchasing power per inhabitant, Prague, , % Industrial production, May 2016 y-o-y 8.6% Office Retail Industrial Mixed Hotels 77% 36% 64% 41% 59% 23% 47% 53% 48% 52% Source: Czech Statistical Office 2016, MPSV 2016, GFK Incoma Czech Republic 2015 Prime Yields 4.0% 5.0% 5.0% 6.5% 7.5% High Street Shopping Centres Office Industrial Retail Parks Investment Overview 490 million of commercial real estate investment was recorded in contributing to an H total of 950 million. 25 transactions in H1 provided an average transaction volume of above 38 million. The retail sector reported a 47% share of total volumes and was the most traded asset class in H The Czech market is increasingly gaining the attention of new global investment sources and in H1 the market witnessed two transactions by South African investors, NEPI and Rockcastle, who acquired shopping centres in regional cities. H Key Transactions The largest transaction of the period was the sale of the Atrium portfolio by Atrium European Real Estate to Arcona Capital for ca. 100 million. During H1 2016, domestic equity further cemented its position within the well-diversified Czech capital pool; H1 saw 65% of offices and 59% of retail purchased by Czech entities. Timing Property Market Price Seller Buyer H Atrium Retail Portfolio Various ca. 103 million Atrium Arcona Capital H Forum Liberec Liberec Confidential Tesco Rockcastle H Na Příkopě 23 27, Prague 1 Prague ca. 80 million Private investor LaSalle Investment Management

3 Office Market New Supply Demand (sq m) Property Submarket Size (sq m) Quality Kotelna Park Prague 5 OC 6,457 New Classic 7 Phase III Prague 7 - IC 5,550 New CC = City Centre, IC = Inner City, OC = Outer City Office supply will remain limited for the remainder of Overall in 2016, we expect approximately 32,400 sq m to be completed which would be the lowest new annual supply level ever recorded on the Prague office market. New supply should increase again in Renegs / Renewals 30,300 82,300 Absorption: 49,300 sq m Net Take-up Vacancy Under Construction (sq m) to be completed in 2016 and % 13% 8% 21% 15% 12% 13% 11% 13% 18% 20, , Prime Rents ( /sq m/month) Key Transactions Building Occupier Contract type Deal size (sq m) Enterprise Office Center CSC Computer Sciences new occupation 9,428 Zlatý Anděl NN pojišťovna a penzijní společnost renegotiation 8,300 Aspira Business Centre Livesport pre-completion 5, Anděl City (Cetelem) Cetelem renegotiation 5,240 Aviatica Vltava Labe Press new occupation 4,045

4 Retail Market Retail Stock in the Czech Republic New Market Entries Retailer Location Type of Retail Quarter Cremieux Myslbek Fashion Q2 Patek Philippe Pařížská Watches Q2 Hamleys Na Příkopě 14 Toys Q Mil. sq m 334,000 sq m 315,000 sq m 3.75 Mil. sq m Pinko Pařížská Fashion Q2 Longchamp Pařížská Accessories Q2 NYX Cosmetics Nový Smíchov Health & Beauty Q2 Prague Brno Ostrava Czech Republic Existing retail stock Prime Rents in Prague ( /sq m/month) Shopping Centre Density / 1,000 inhabitants 190 High Street 110 Shopping Centre 8-10 Retail Parks Luxembourg Netherlands Ireland Sweden Finland United Kingdom Spain Portugal Italy Croatia France Czech Republic Poland Slovakia Romania Turkey Russia Hungary Bulgaria Belgium Greece Ukraine Serbia Average Density: 253 sqm GLA / 1,000 inhabitants Source: JLL, 2016 Under construction (sq m) to be completed in Retail Stock in Prague by Property Type 8% 2% 6% 58,000 75,000 84% Shopping Centres Retail Parks Department Stores Factory Outlets

5 Industrial Market Major New Completions Stock (millions sq m) / New Supply ( 000 sq m) Logistics Park Region Size (sq m) Mountpark Pilsen Pilsen 43, BrnoPark I Jihlava 25,900 P3 Prague D8 Greater Prague 23, Q In, new supply reached 182,400 sq m when 12 new projects were delivered to the market. Over 36% of new completions was delivered on a speculative basis. Another 213,900 sq m is currently under construction. The share of speculative versus non-speculative construction is 43/57. Existing stock New Supply Under Construction (sq m) to be completed in 2016/2017 Prime Rents ( /sq m/month) Demand (sq m) 83, ,000 Prague ,400 Brno Pilsen , ,800 Absorption 137,900 (sq m) Q Q Renegs / Renewals Net Take-up Industrial Stock by Regions Vacancy 17% Q % 7% 39% Q % 7% 4.7% 14% 16% Greater Prague Pilsen Brno Ostrava Central Bohemia Other Prague Regions excl. Prague 3.2% 5.8%

6 Tewfik Sabongui Managing Director Blanka Vačkova Head of Research Featured Research: Czech Industrial Market Prague Office Market Prague Residential Market H CEE Investment Market Pulse H Made in Czech 2015 BPO & SSC Employees Speak Out on Workplace 2015 Brno City Report 2016 A Guide to Business Services Sector COPYRIGHT JONES LANG LASALLE IP, INC All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means without prior written consent of Jones Lang LaSalle. It is based on material that we believe to be reliable. Whilst every effort has been made to ensure its accuracy, we cannot offer any warranty that it contains no factual errors. We would like to be told of any such errors in order to correct them.