INDUSTRIAL REAL ESTATE MARKET Q2/2025

In Q2 2025, the total amount of modern industrial class "A" space available for lease reached 12,106,748 sqm. Including shell & core (S&C) space, the total volume was 12,655,108 sqm. 138,657 sqm of new space was delivered to the market, with a further 1,170,798 sqm remaining under construction across the Czech Republic.

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We continued to see interest from logistics, automotive, consumer goods and wholesale companies.

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Rental levels remained largely stable in the market, with only minor adjustments in some regions.

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The vacancy rate of completed space increased to 4.22%, representing 511,483 sqm.

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Significant uncertainty stems from political developments and the possible negative impact of the impending trade war.

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Net demand reached 189,750 sqm, while gross demand reached 337,625 sqm. Logistics, manufacturing and wholesale achieved approximately the same performance as in the first quarter of 2025.

"In the second quarter of 2025, we again saw weaker market performance in the Czech Republic's premium industrial property segment, with new leasing volumes reaching below average levels. Thus, the first half of the year showed approximately the same results as the first half of last year. Given the competition from Chinese vehicles on the European markets, as well as pressures from e-commerce in the e-commerce segment, combined with the escalation of customs barriers, we are seeing a retreat of positive sentiment in the Czech industrial market."