Investment on the Czech property market dropped by 70 percent y-o-y in 2012. The total value of commercial investments decreased to €583m, nearing the levels seen in 2009 and 2010, according to DTZ. The Eurozone crisis, lack of financing and activity from foreign investors contributed to the decrease, Dušan Šťastník from Jones Lang LaSalle told the business server e15.
CPI, the most active Czech investor in 2011, posted an investment volume of CZK 3bn, down from CZK 16bn invested in 2011. The sale of the City Tower highrise in Prague 4-Pankrác to Proxy-Finance and Radio Free Europe’s headquarters to L88 were the largest transactions in 2012. This year’s volume is expected to surpass 2012’s results, with investments estimated to reach €1bn. The market will likely see an increase in pension fund activity in 2013, according to Lenka Šindelářová of DTZ.
