Three projects are scheduled to come on line before the end of 2012 and add a total of 20,000 sqm of office space. The second phase at AFIās Classic 7 will offer 10,400 sqm in Prague 7 HoleÅ”ovice. Baawer Office House will add 3,000 sqm in Prague 5 and KarlĆn Hall 6,500 sqm in Prague 8 KarlĆn. Altogether, 99,700 sqm of new office space should hit the Prague market in 2012, a similar volume as in 2011. This corresponds with the current pace of take-up, according to DTZās Q3 office market report. Vacancy has been flat over the last 18 months, hovering between 11.5 to 12 percent.
DTZ predicts the total volume of lease contracts signed in 2012 (including renegotiations) will reach between 250,000 and 270,000 sqm, which is an above average result. The long term average is 225,000 sqm. VĆ”clav BouÄek, Head of Tenant Representation DTZ says the lack of spaces over 3,000 sqm suitable for big tenants is currently slowing down the leasing process.
