There was one office building delivered to the market in the first quarter, Harfa Business Center B with 25,500 sqm. Reconstruction of three buidings started in first quater. Total Prague modern office stock increased to 3.75 million sq m.
We have recorded an increase in the vacancy rate to 8.4%, that is representing
315,300 sqm of vacant office space as of Q1 2022. During Q1 we have monitored a decrease of space offered as subleases. In total, 59.800 sq m was immediately available for sublease at the quarter-end (a drop of 24% q-o-q).
In Q1 2022 take up reached 74.900 sq m. It represented an increase by 29% q-o-q and 44% y-o-y. Total leasing activity (TLA) in Q1 2022 exceeded 135.630 sq m. The market was dominated by renegotiations in existing premises which accounted for 43% of TLA, followed by new leases (35%), preleases (12%) , expansions (8%) and subleases (2%).
The most active were companies from IT sector, who accounted for 27% of TLA, manufacturing companies (13%) and consulting/professional services (10%) sectors.
Prime rents further increased to 24.00 – 24.50 €/sq m/month