News Article AFI Czech Republic Finep investment joint venture rental residential
by Property Forum | Residential

International investment and development group AFI Europe and Czech developer Finep have announced two signed transactions adding more than 800 apartments in two different locations to the Prague rental housing market over the next three years.

Finep will newly build two apartment buildings with more than 300 apartments for AFI Europe in the Nová Elektra project in Prague 9 - Hloubětín. In addition, AFI Europe is buying from Finep the project "V Korytech" in Prague 10 – Strašnice where AFI Europe intend to develop a residential project of more than 500 apartments.

The project of two houses in the Nová Elektra location in Hloubětín in Prague 9 offers a total of 291 residential units of various sizes - from 1-bedroom to 4-bedroom with kitchenette. There are also 309 parking spaces and commercial premises. The Rokytka Nature Park is a two-minute walk from the houses, with opportunities for relaxation and active recreation.

The project "Residential complex V Korytech" in Prague 10 offers 519 residential units with easy accessibility to the city centre by public transport and close to green areas. The project includes sustainable features such as electric charging stations and community courtyards.

"By developing the rental and cooperative sector we contribute to accessibility better than any intended regulation, which, as foreign experience shows, leads to the opposite," said Tomáš Pardubický, CEO at Finep. He points for example to a study by Mense from Berlin, Germany, which showed that adding one new market unit to the 100 currently available on the rental market reduces rents in their neighbourhood by 0.4 - 0.7%. "The way to increase the availability of housing is to increase the number of available apartments on the market," emphasised Pardubický.

“Residential rental concept AFI Home has been rapidly gaining attraction not only in the Czech Republic, but also in other CE markets. In CEE, our AFI Home platform is active in CR, Poland, Romania and Serbia where our portfolio is set to total over 6,000 rental units,” commented Doron Klein, Deputy CEO at AFI Europe. The two companies expect to cooperate on rental housing in other locations soon.