Four new buildings and two reconstructions completed in the first half of 2021 expanded the offer of new office space by 53,000 m2. The volume of new construction was 30% higher than in the second half of 2020, but there was a year-on-year decrease of 52%.
Over the last six months, the average vacancy rate in Prague has increased by 82 basis points (bps) to 7.80%, reaching its highest level since Q2 2017. At the end of June 2021, a total of 219,400 m2 of vacant office space was available in Prague. space.
The total rental activity in the first half of 2021 was 179,500 m2, which corresponded to a year-on-year increase of 21%, but compared to the second half of 2020 there was a decrease of 3%. Even so, a slow return to pre-pandemic levels can be observed.
Net rental activity for the first six months of 2021 reached 94,300 m2. It decreased by 3% year-on-year, but increased by 34% compared to the second half of 2020.
The Prague office market recorded a positive net absorption of 23,200 m2 in the first half of 2021 (compared to 85,300 m2 in the first half of 2020 and 5,300 m2 in the second half of 2020).