3Things: Passerinvest’s 7.6% bond, ČNB sticks with 7%, and the new WorkLounge

Robert McLean

#cee, #proptech, #development a #architecture
Passerinvest Group announced that it has completed a CZK 750 million bond issue that carries a coupon rate of 7.6%, with quarterly payment scheduled. The bond issue will last 5 years. “Thanks to this successful issuance, we’ve remained active on the koruna public bond market, having completely paid back the previous CZK 2 billion bond issuance at the end of May,” said CFO Ondřej Plocek. CEO Radim Passer said the bond provides the financial reserves the company needs to continue with its development activities. The announcement came the same day as the Czech National Bank decided to leave its base rate at 7%, where it’s been since last July. There’s been speculation that central bankers are edging towards a reduction of rates in September. Frankly, that seems far-fetched. It came out yesterday that three of the committee members actually voted to increase rates (four voted to leave them at 7%). Stubborn inflation figures and growing confidence in the economy mean the potential for further rate hikes is growing.
In a deal negotiated by Savills, WorkLounge has taken over the co-working center at Na Příkopě 14 in central Prague (previously operated by HubHub). The 3,700 sqm center will be WorkLounge’s largest. “Over the last twelve months, interest in coworking centers as well as serviced offices has increased,” says the company’s Lubomír Šilhavý. WorkLounge already operates three Prague serviced centers in Forum Karlín, Václavské náměstí and in Smíchov. Savills is the property manager of the building, which is owned by CPI Property Group. “We are currently working on several significant inquiries from abroad, where foreign companies want to enter the Czech market and need somewhere to start and then grow,” says Pavel Novák, Head of Office Agency at Savills. The handover to WorkLounge took effect May 1. New co-working centers continue to open in the city. As it happens, Passerinvest is due to open its own home-grown center later today at Brumlovka, which will be called Fleksi.

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