The office and business complex in the centre of Prague is being transformed into "Karlák Shopping Square"

The office and business complex in the centre of Prague is being transformed into "Karlák Shopping Square"

The rebranding and reconstruction of the building on Karlovo náměstí concerns retail and office spaces and architectural modifications along with the installation of a new logo and brand identity.

The office and business centre "Karlák Shopping Square" (formerly Charles Square Center) is getting a new appearance in the form of a complete rebranding, architectural modifications and the reconstruction of retail and office spaces including a modernised logo. Office tenants in the building include Phillip Morris, Cisco, DIOR, Commerzbank and Moët Hennesy. Newly arrived retail tenants include, for example, McDonald's and Fruitisimo. The building is owned by the German asset and investment manager KGAL which is also the initiator of the entire project. The leasing of office space and management of the building is provided by Savills, which also carried it through the certification process in 2021 at the BREEAM In-Use Excellent level. CBRE, which is also redeveloping the Karlák Shopping Square building, oversees the leasing of the retail space and project management.

„We are very happy with the way the project is developing. Matching the requirements of the tenants and enhancing the quality of the building at the same time is a challenging process. Each party involved is passionate and working at a most professional level. The very high degree of collaboration between all parties involved is key to success. In the end it is very rewarding to see how the final pieces add up to the last matching piece in a game of Tetris,” comments Jessica Zeitler, Asset Manager at KGAL.

New and long-term tenants underline the attractiveness and interest in Karlák Shopping Square

"We have recently brokered a lease for two attractive gastro brands, namely the fruit bar Fruitisimo and the popular McDonald's, whose space with an area of more than 300 m² will connect the inner mall with the busy area in front of the multifunctional centre," said Jan Janáček, Head of Retail Sector at CBRE, and added: "The Billa supermarket is among the long-term tenants, while the larger formats also include the Teta drugstore and the popular John Reed fitness centre concept." In addition, the centre is awaiting other changes - these relate to both future and existing tenants. One such example is the store of the Don Pealo chain, which will relocate to a new business unit. Leases of space for a renowned international bakery brand and a chain of vegan and vegetarian restaurants are also in advanced stages of negotiations.

Pavel Novák, Head of Office Agency v Savills, added: "Office buildings in the centre of Prague are always attractive for companies due to their convenient location. In the case of this building, they also appreciate the services provided within the shopping mall, the accessibility directly to the metro and perhaps even the views from the top floors. It was these factors, among others, that led to the extension of contracts with long-term tenants. For example, Philip Morris rents almost 3,500 m² here and Cisco 2,800 m²."

Architectural changes, redesign and rebranding

"As part of the reconstruction, owner plan to modify the facade of the centre. The design respects the existing form of the building and is based on the simplicity of its architecture. Rebranding is definitely an integral part. The design of the logos of individual tenants and the department store as such will be unified, and large-scale advertising and colourful stickers will be removed," explained Anna Pospíchalová, Architect in the Project Management and Building Consultancy Department in CBRE.

The goal is to calm the visual image of the building in the public space and at the same time promote the visibility of the entrances to the centre, mainly to its retail part. Access to the office premises is deliberately suppressed. The facade will be complemented by high-quality materials, from which the black matte glass framing the portal of the entrance to the mall and the mirror perforated stainless steel sheet used for the soffit of the space both stand out. Light, both natural and artificial, is also an important element.

"Transformation awaits the units of both new and existing tenants. This includes, for example, the creation of a Shell & Core space for the McDonald's fast-food chain and other gastronomic operators. We together with the owner KGAL want to make the most of the potential of the place, revive the multifunctional centre even from the street and thus attract as many visitors as possible," stated Barbara Jesenská, Project Manager in the Building Consultancy Department at CBRE.

Light as a key element of redesign

A new lighting system will be introduced in the building, which will respond to natural light and improve the overall atmosphere of the environment. The new installation is designed to eliminate unwanted glare and excess light, which will help minimise disturbing differences in brightness and contrast when transitioning from exterior to interior. The result will be a more pleasant space that better respects the surrounding environment. Another positive aspect will be the maximum use of the centre’s potential. The new lighting will make it possible to better highlight and present the offered products and services. Moreover, it will promote sales and attract more customers to enjoy and explore the range in the retail section. This will create room for increased sales and the success of the new Karlák. Overall, the reconstruction of the multifunctional centre will bring positive changes in the cleanliness of the visual environment and the use of its potential.