ARTICLES LABELLED WITH TAG report

Immofinanz recorded a significant improvement in the results of operations and net profit during the first quarter of 2021, which was still heavily influenced by the COVID-19 crisis.

CPI Property Group’s net rental income increased by 6% to €88 million in Q1 2021 compared to Q1 2020. Consolidated adjusted EBITDA increased by 7% to €90 million and funds from operations (FFO) increased by 4% to €61 million compared to Q1 2020. The company published its unaudited financial results for the first quarter of 2021.

In Q1 2021, home prices in Slovakia increased by only 2% compared to Q1 2020. The prices of new dwellings increased by 2.6% and prices of used dwellings rose by 1.5%, the Statistical Office of the Slovak Republic announced.

Commercial property is viewed as having below-average risk levels in most CEE countries. Revenues from different asset classes are expected to recover to pre-COVID levels most rapidly in Poland, according to the RICS Global Commercial Property Monitor for Q1 2021.

Although many projected that office development projects would be cancelled due to the pandemic, that is not what the numbers are showing. Developments are ongoing despite the emergence of working from home and Eston forecasts about 160,000 sqm of offices for rent to be put on the market this year, following 230,000 sqm in 2020. Meanwhile, the pre-lease ratio of buildings under construction is lower than seen in previous years, in line with the current demand trend.

The Chamber of Deputies, the lower house of the Parliament of the Czech Republic, has approved an amendment to the building law drafted by Regional Development Minister Klára Dostálová that aims to accelerate approvals on large construction projects. Now the law will be submitted to the Senate for consideration. If approved, it should come into force on July 1, 2023.

The Independent Committee of the Globalworth Board has published its response circular in connection with the unsolicited cash offer by CPI Property Group S.A. and Aroundtown SA at €7.00 per Globalworth share. The Independent Committee continues to believe that the offer significantly undervalues Globalworth, its assets and its prospects.

Supported by sustained portfolio growth in 2020 and the completion of profitable property sales and project pre-letting in Q1 2021, CA Immo is starting 2021 with a positive first quarterly result. All key financial figures were increased compared to the previous year, and the value of property assets rose to €5.7 billion. A sustainable result (FFO I) of at least €128 million is expected for 2021, and FFO I of at least €140 million for the post-pandemic financial year 2022.

According to Savills, the development pipeline for the Czech industrial market reached the highest level in history in Q1 2021. There were 47 industrial buildings in various stages of construction with a total rentable area of 734,200 sqm across the country. Speculative projects represented 36% of this construction pipeline, which was well below the 10-quarter average of 46%.

As more people get vaccinated and offices are reopening, companies need to make a decision on how to manage their workforce. Employees that worked remotely for much of the past year will now circulate between work from home and commuting to the office. But do employees really want to work from home or from the office 5 days a week? CEE-based flex office provider New Work believes that the future belongs to flexible workplaces everywhere and they see demand for hundreds of flex office locations across each country in the region.