Companies want to limit remote work
In 2021, the construction and reconstruction of office buildings in the Czech capital reached an area of 56.500 square meters, a decrease of more than 150,000 square meters compared to 2019. Ondřej Vlk, head of market research at international consultancy Knight Frank says that “In 2022, however, we expect the completion of nine office projects with a total area of 76,300 square meters, which is still well below the 10-year average. Only in 2023 could a larger number be completed, i.e. around a further 140,000 square meters of office space, provided the current deadlines for developers are met”. Thus, according to the SeznamZprávy portal, a strong recovery is expected for the sector in question in the coming months.
However, adverse variables such as delays in the supply of materials and services or labor shortages are insisting on the failure of this sector to develop fully. Strictly speaking, Leoš Anderle of the development company Sekyra Group stated in an interview for SZ Byznys that the construction of commercial premises is slowing down, stating that “Office buildings that we used to build in eighteen months are now being built in twenty-four months”. Moreover, the difficulties experienced in the sector have had a direct impact on commercial property rents. Despite this, according to the Colliers analyst “Total gross realized demand, including renewed contracts and sublets, reached 135,600 square meters in the first quarter of 2022, which represents a quarter-on-quarter increase of 28% and a year-on-year increase of even 44%, and is also the highest recorded since 2019”.
Source: http://www.seznamzpravy.cz; http://www.camic.cz
Sources of images: Pixabay.com; Storyset.com
