Retail park supply exploded in 2024 in the Czech Republic, with with 80,000 sqm of new, modernized, or expanded space coming online. These commercial zones now make up nearly a third of the country’s total retail space, reaching 1.3 million sqm, according to a new report from Cushman & Wakefield.
Hottest of all is the Central Bohemian region, as it saw the biggest number of completions. On a per capita basis, however, Olomouc region maintains the highest level of saturation on a per capita basis. Jan Čížek, Head of Retail Warehousing at Cushman & Wakefield, chalks this up both to changing consumer preferences and to developer strategies. And he says last year was just the continuation of an existing trend.
“The construction of retail parks has been booming since 2023,” says Čížek. “Many projects were postponed due to the uncertain COVID-19 period and are now being realized. Thanks to simpler and faster construction, they can respond more flexibly to retailers’ demand for available space.”
The largest project completed in 2024 was the Obchodní centrum Hvězdárna in Jindřichův Hradec, boasting 14,200 sqm and 17 retail units. Notable additions also included the S1 Center Slaný retail park with 5,500 sqm and the S1 Center in Krnov spanning 5,100 square meters.
This growth trajectory appears set to continue, with over 70,000 sqm currently under construction for 2025, primarily in the Ústí nad Labem and Central Bohemian regions. But that’s nothing compared to the planned pipeline for 2026, when developers plans to add 45 new retail parks, adding up to 220,000 sqm of additional space.
Another way of looking at these developments is that traditional shopping centers are losing market share. Retail parks have increased their share from just 27% in 2019 to 33% in 2024, while malls now control just 65% of the market.
“Investors are building projects even in smaller towns and adapting them to the catchment area, project size, and tenant composition,” says Čížek. Retailers thus have the opportunity to offer their goods to customers close to their homes, significantly shortening shopping time.
Photo: HSF System
