News Article CTP Czech Republic industrial lease manufacturing Ostrava
by Property Forum | Industrial

CTPark Ostrava is currently home to 75 companies with 9,000 people employed there and the site continues to attract new firms looking for suitable sites for production space. The offer of such space in the Moravian-Silesian Region has grown by 70% year-on-year. The site owner, CTP, has now concluded agreements with Brembo, Hyundai Steel and Škoda Vagonka on new operations at the park. More than five hundred new jobs will be created in the region as a result.

“CTPark Ostrava offers an ideal location for manufacturing. Just 10 kilometres from Ostrava city centre, the site is located by the D1 motorway to Brno, and on the route to Poland. Additionally, it lies only 20 kilometres from Ostrava airport. The region boasts a skilled workforce, a factor highly attractive to industry,” said Petra Pivovarová, park manager. “Amidst the current COVID-19 crisis, demand from several car manufacturers and suppliers shows that we can still believe in a positive future for the automotive industry.“

According to most recent data from BNP Paribas Real Estate, the Moravian-Silesian Region, of all Czech regions, has seen the biggest expansion of floorspace since the beginning of 2020. Compared to the same period last year, its volume has grown by 7%. "The Moravian-Silesian Region is currently the fourth largest logistics region in the Czech Republic, with 752,500 sqm in total. Another 121,600 sqm are in construction, of which more than 80,000 sqm are expected to be finished this year. The total amount of floorspace on offer will reach 205,000 sqm in 2020, which is a 70% growth from last year," explains Markéta Vrbasová from the Industrial and Logistics Agency at BNP Paribas Real Estate.

Brembo Czech, a manufacturer of vehicle and motorcycle brakes, has been based at CTPark Ostrava for 10 years and leases 36,500 sqm of space there. From November, it will add another 25,000 sqm, in a new hall. The metal castings produced by the company in the Ostrava area will be painted and assembled at the new facility. With a current staff of 1,250, Brembo Czech will take on 400 more employees over the next four years. “Ten years ago, we found space at the Ostrava industrial park for manufacturing vehicle brakes and other aluminium products. Locating production in a region with a highly qualified workforce is an advantage for us. We particularly appreciate this now, as we gradually recruit 400 new employees for the new operation all at the same time,” explained Filip Jedelský of Brembo Czech.

Another new tenant at CTPark Ostrava is Hyundai Steel, part of Hyundai Group, which will lease a hall with 25,200 sqm of space for producing metal bodywork parts for cars. It will do so for the Hyundai factory in Nošovice, located 20 kilometres away. For Hyundai, the location of the park in a region with a tradition of metal production provides a huge benefit. “We do not expect recruiting hundreds of new employees for a new operation at the Ostrava industrial park to pose any problems. This is especially true when many people have lost their livelihoods because of the economic situation,” said Ondřej Víta of Hyundai Steel.

A smaller, 5000 sqm warehouse at CTPark Ostrava will be rented by Škoda Vagonka, who will store spare parts for assembly there. "The choice of CTPark Ostrava for the new warehouse of Škoda Vagonka, a subsidiary of Škoda Transportation, which is owned by PPF Group, was driven mainly by the perfect location of the park. The warehouse is directly connected to Vagonka's assembly line for rail vehicles at the Ostrava site, which is doubling its production volume over the course of two years as a reaction to growing demand and thus requires fast and smooth interactions between the warehouse and production facilities," adds Markéta Vrbasová from BNP Paribas, who facilitated the transaction. The new warehouse will employ 30 staff. 

CTP has been managing CTPark Ostrava for 16 years. 75 companies operate here, employing 9,000 staff. Tenants include Brembo, a manufacturer of vehicle and motorcycle brakes, automotive manufacturers Hyundai and Škoda Vagonka, and Moneta Money Bank, which runs a shared service centre. Other tenants include German automotive parts manufacturer Continental (now Vitesco) and ABB, a Swedish-Swiss supplier of digital technology for the industry. CTPark Ostrava shows how a park boosts the prosperity of a region. CTP invested over CZK 7.5 billion in the project.

CTP has long-term experience in North Moravia and in Ostrava itself. The high-rise IQ Ostrava office building houses the headquarters of Tieto. In Ostrava-Poruba, the company recently started construction of a completely new park. Tenants will be able to move there at the beginning of next year. CTP has invested CZK 1.5 billion in the complex.