Passerinvest buys Gamma, mortgage rates hit ceiling, and JRD


Robert McLean

#cee, #proptech, #development a #architecture

Passerinvest has acquired the Gamma office building in Prague 4 from the Austrian real estate company Immofinanz. It’s another milestone in the Czech developer’s long-term campaign to buy back the buildings it built for the Brumlovka office park beginning 20 years ago. Beginning in 2014, Passerinvest has bought back the Alpha and Beta buildings along with Budova A and Budova B. Gamma offers 30,000 sqm of leasable space on 10 storeys. Passerinvest founder and CEO Radim Passer believes that by unifying ownership and management of the buildings in Brumlovka he can increase its overall value.  “We are developing the Brumlovka complex and we want to offer our customers, as well as the inhabitants of Prague, a beautiful and sustainable urban environment in a functioning city district with all the pertaining attributes,” said Passer. Just over ten years ago, Immofinanz sold Building C in Brumlovka to the VIG fund, but it still owned Buildings A, B, and Gamma.

Green Port StrasniceJRD Development has completed construction on its energy efficient residential project Green Port Strašnice. The project includes three apartment buildings with 156 flats along with 1,300 sqm of retail space and a large, green interior courtyard. Just four units are still for sale in the project, which features 1,000 sqm of roofing that’s covered with green vegetation. Director Pavel Krumpár says such design features serve to improve the buildings’ heat and noise insulation while preventing excessive rainfall runoff and helping to absorb dust particles. “Buyers appreciate the importance of energy efficient operations in today’s situation when we’re all confronted by the energy crisis,” he says.

Statistically speaking, Czech mortgage rates fell slightly in September for the first time in months. In reality, the miniscule 0.05% decline will save home owners a piddling CZK 100 on their monthly installments. Fincentrum Hypoindex reports that the average mortgage offer currently stands at 6.23%, far too high to support the residential boom that marked both the pre- and post-Covid era. The Czech National Bank brought that boom to a crashing halt by raising interest rates from just 0.25% to 7% in just over a year. In fact, rates for mortgages covering more than 80 percent of the value of the asset rose by 5 basis points to 6.28%. These loans are intended for buyers who are 36 years or younger.


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