The Q4/2020 was a quarter of major project announcements in the Moravian-Silesian region and continuing COVID restrictions. Major drop in vacancy took it back under five percent with vacancy now being 4.94 % and 454,575 sq m of modern industrial space now available. Completed construction reached 83,451 sq m and projects currently in construction reached 342,857 sq m. Total stock reached at the end of 2020 9,190,995 sq m. With projects currently in planning phase the stock has a potential to reach 14 mil. sq m in the future. Rents slightly increased in Q4 and we expect them to rise steadily in the upcoming year.

Situation in Prague and surrounding area remained relatively the same. There continues to be a low vacancy rate and future pipeline of projects doesn’t offer sufficient level of new development prospects to accommodate the growth potential. We believe that continuing rise of e-commerce, FMCG and retail demand will stimulate improved cooperation between the business side and local municipalities and other governmental institutions to create additional opportunities for industrial development in this important region.

In Q4 of 2020 the Moravia region was defined by significant developer activity and by tenants high expectations. Many projects already announced were joined by new projects by P3 and Panattoni which made Moravian-Silesian region one of the hotspots on the country’s industrial map. Amount of available premises exceeds the demand and it will be interesting to follow price development.Tenants reaction was lukewarm however in regards to what’s happening in the world currently. Turn of the year brought an optimistic outlook thanks to an extreme growing number of inquiries and consultations from tenants. Such an opportunity to lease under advantageous conditions won’t be repeated in the Moravian region. For these reasons I dare to say that year 2021 will be positive from point of view of tenants and for the market as a whole,” said Martin Nenička, an Industrial Consultant at 108 AGENCY.


Mapa 108 dealy ČR (Q4-2020) EN

Average monthly rents

€ 4.07/sq m – € 4.76/sq m

Total stock

9,190,995 sq m

Vacancy rate

4.94 %

Currently under construction

342,857 sq m

Yield "A" class

5.25 %

Yield "B" class

6.5 %