Crestyl has reached an agreement with local officials in Vokovice – Prague 6 that will allow it to build a new residential complex in the former Aritma area. In return for permiting construction to go ahead, the developer will contribute funds for the construction of a nursery school and for smart transport solutions all over Vokovice. Crestyl’s plans include the creation of commercial units as well as clinics. “We communicated with representatives of local residents and paid attention to their views of the situation in the neighborhood,” said Prague 6’s mayor Jakub Stárek. “At the same time, we want Vokovice to develop and for its formerly industrial areas to gain a new life.” Crestyl’s director Simon Johnson says the project will see the construction of 224 flats in 18 buildings along with six family homes. With the agreement now in place after years of negotiations, Crestyl hopes to achieve planning permission in 2023.

Even though no new office starts were recorded in Q3, fears of office space running out in Prague are unfounded. Josef Stanko, Senior Analyst at Colliers, reports that up to 126,000 sqm of speculative office space is due to get underway in the coming months. This will boost the meager addition of 18,000 sqm of new stock to Prague’s market, which he expects to reach 4 million sqm sometime in 2024. He said in terms of gross take-up, the third quarter saw the best result (137,700 sqm) since 2019. “Despite seeing a decent share of renegotiations, an unabated demand for new offices is clearly visible and was not negatively influenced by any of the currently discussed office reductions and footprint optimizations. The Czech real estate market is traditionally more conservative when it comes to following global trends,” said Stanko. By the end of 2022, city’s total stock of modern space should climb to 3.8 million sqm. At the moment, vacancy stands at 8.1%, or roughly 308,000 sqm.