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Industrial

Industrial real estate rent prices to increase in some locations by up to 10 % in 2021

The fourth quarter of 2020 closed a year full of changes and upcoming trends, also reflected within industrial real estate. Despite the pandemic, the industrial segment proved stable, and there was a significant acceleration in the development of e-commerce, and specifically the digitalisation of the entire retail sector. There remains a high demand for premises on the market from investors and clients, and this interest puts pressure on prices, which will increase significantly at premium locations in 2021.

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Industrial

Logistics service boom

Interest in outsourcing logistics services is growing in the industrial real estate market. Primarily due to flexibility, customers no longer have to make a long-term commitment, and they can adapt the scope of the storage and related services to their current needs. In today’s dynamic times, this is proving to be an interesting competitive advantage. As a response to this trend, 108 AGENCY established a new division which is exclusively responsible for the brokering of logistics services.

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Industrial

The Czech industrial real estate market in Q3/2020: the 9 million sq m mark was exceeded in modern industrial premises during the pandemic

The pandemic, and the measures relating to it, had only a limited effect on the industrial real estate rental market, in particular with regard to the importance of the logistics sector, supply chains and production for the end consumer. In the third quarter, developers and tenants were catching up with the impact of the lockdown, and the situation in the fourth quarter will tell us more about business models in the coming year.

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Industrial

108 AGENCY participated in a unique survey which reveals both trends and problems in Czech logistics and warehousing

The survey was realised by the SKLAD (Association of Competent Logistics Providers and Suppliers) association in collaboration with the Ipsos research agency. The result is an extensive study which maps the trends shaping the logistics market in the Czech Republic. 123 managers operating in retail and wholesale company logistics, e-commerce, the automotive industry and manufacturing also took part in its creation.

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Investment

COVID-19 vs. commercial real estate: who will come out of the pandemic as the winner?

Commercial real estate has been under pressure from the coronavirus for several months now. At the beginning of the year 2020, a slight cooling of the market and reduction in demand was observed. And with the advent of March, it was clear that COVID-19 will also affect the real estate market. After the initial uncertainty, and reassessment of which operating model will pay off under the constantly changing conditions and restrictions, the situation is gradually stabilising. Today, we can evaluate which real estate market segments fared the best in the battle.

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Industrial premises’ vacancy rates rise

In the first quarter of 2020, vacancy rates in industrial real estate in the Czech Republic reached a value of 5.0 %. The reason for this is not the virus pandemic, however, but rather a number of completed speculative projects which have not as yet found tenants. While many manufacturing sites have halted operations or closed, Czech e-commerce is growing rapidly. The real estate market in the industrial and warehouse sector has always come out of crises well, and any impacts from the coronavirus crisis are minimal.

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