108 Agency: Vacancy stable despite Industrial construction boom
Industrial real estate vacancy in the Czech Republic was stable at around 4 percent for most of 2018 despite what 108 Agency is describing as a record pace of new construction. The agency reports that roughly 485,000 sqm of new space was under construction at the end of 2018. In all, it writes in a new release, 16 major projects were completed, bringing the total stock of modern warehouse space to 7.9 million square meters. While numerous projects were begun on a speculative basis, something 108 Agency attributes to a deep level of confidence on the part of investors in the Czech economy, supply is failing to keep up with demand.
"The year 2018 was very successful for the whole Czech economy and for the industrial property market in particular. The demand came from all sectors and from all regions of the Czech Republic. A record number of space has been built and leased, the logistics companies have full warehouses and production capacities," says Martin Šumera, consultant of 108 AGENCY.