In most Central and Eastern European countries the commercial property market is heavily concentrated in the capital city and modern offices in secondary or tertiary cities are virtually non-existent. Luckily, that is not the case in the Czech Republic, where there are cities outside of Prague, most notably Brno, that offer attractive opportunities for international companies. Czech-based developer CTP invited us for the opening ceremony of the new Courtyard by Marriott hotel and showed us the city’s property market.

Deutsche Hospitality’s first hotel CEE hotel is set to open in by 2019. IntercityHotel Budapest will be located in a newly constructed building in forint of the City’s Eastern Railway Station (Keleti pályaudvar). It will have 300 rooms, a restaurant, a bar, a conference area and an underground car park with 200 spaces. 

Goodman is now constructing a second modern warehouse building totalling 36,700 sqm in Pomeranian Logistics Centre. The company’s flagship development in Poland has already secured five new pre-lease agreements.

Panattoni Europe has completed a manufacturing and warehousing building for STS Acoustics. The facility features close to 9,000 sqm and was built at the Międzyrzecz Industrial Park, in the Lubuskie voivodeship. The lease was signed for 12 years.

Nearly 100,000 sqm of new office space was delivered to the Budapest market in 2016, the highest figure since 2010. Meanwhile, demand picked up in the last quarter of the year with a large share of the total leasing volume made up of pre-leases and new transactions. At the same time, the office vacancy rate has returned to its downward trajectory, reaching 9.5%, the lowest rate on record.

Skanska invests €38 million in the first phase of Campus 6, an office complex in Bucharest, Romania. The first phase will offer a total leasable area of about 22,000 square meters on 11 stories above ground and two levels of underground parking.

Panattoni Europe will build another BTS facility for H&M. The distribution centre spanning over 30,000 sqm will be built in Grodzisk Mazowiecki – construction works are set to start in February 2017. The investment will be certified under the LEED system, aiming for the Silver rating level.

TriGranit appointed the Hungarian office of CBRE with the exclusive leasing of its latest development in Budapest. The Millennium Gardens office building is being constructed alongside the Palace of Arts and the National Theatre, on the Danube side of Soroksári Road. It will offer 37,000 sqm of leasable space and it is expected to be completed by 2019. 

In 2016, new supply totalled 497,000 sqm on the Czech industrial market and at the end of the year a further 426,600 sqm of storage and industrial space was under construction. Prime headline rents achieved in the Czech Republic remained stable during Q4 2016 and currently stand at €4.25 sqm/month. The Industrial Research Forum has published its preliminary industrial market figures for Q2 2016.

HB Reavis announced that construction has commenced on Varso Place, its flagship development in Warsaw’s city centre. Plans for the 140,000 sqm mixed-use scheme include one of Europe’s tallest towers and two mid-rise buildings. Completion is scheduled for 2020.