Brno Office Market: A Hub for Growth and Talent

Brno's office market is thriving, positioning itself as a compelling alternative to Prague. Despite having a total supply approximately 5.6 times smaller than the capital, Brno's current construction volume has reached half the level of Prague. This indicates significant ongoing development and investor confidence.

In H1 2025, the market saw the completion of the Titanium X office building, adding 10,900 sqm of new space. An impressive 103,100 sqm is currently under construction, promising further growth. The total modern office stock in Brno now stands at 704,900 sqm, with high-quality Class A buildings accounting for a substantial 73% of the total. While the vacancy rate increased slightly year-on-year to 12.7%, prime headline rents saw a modest rise, reaching €17-€18 per sqm/month.

A key driver for demand in Brno is the strong availability of qualified professionals, making it an attractive location for companies seeking skilled talent. This is coupled with a supply of modern office buildings that meet high international standards. Major transactions in H1 2025 underscore this demand, including a significant pre-lease in Nová Zbrojovka D4 (10,500 sqm), a pre-lease in Landmark (3,300 sqm), and a new lease in Campus Science Park DE (1,900 sqm).

Ostrava Office Market: Stability and Strategic Opportunities

In contrast to Brno's rapid expansion, the Ostrava office market is characterized by stability and limited new development, which has contributed to a slight year-on-year decrease in its vacancy rate. The total modern office stock in Ostrava was 245,700 sqm at the end of H1 2025, with no new completions reported during this period.

The only project currently under construction is the Václav mixed-use building, which will add 3,000 sqm of office space upon its expected completion in 2027. This controlled growth has positively impacted the market's balance. The office vacancy rate in Ostrava decreased by 1.1 percentage points year-on-year, reaching 10.7%, indicating a healthy absorption of available space. Prime headline rents remained stable at €14.00 - €14.50 per sqm/month, offering a more cost-effective option compared to Brno.

The most significant transaction in H1 2025 for Ostrava was a new lease secured by Satum Czech in the IQ Ostrava building, covering 1,900 sqm.

Choosing Your Next Business Location in the Czech Republic

For businesses evaluating office locations in the Czech Republic, both Brno and Ostrava present unique advantages. Brno offers a dynamic, rapidly growing market with a strong talent pool and a high concentration of modern, high-standard office spaces, ideal for companies looking to scale and innovate. Ostrava, on the other hand, provides a more stable market with lower operational costs and a decreasing vacancy rate, making it an attractive option for businesses seeking efficiency and a steady environment.

Understanding these distinct market dynamics is crucial for making an informed decision that aligns with your company's strategic goals and operational needs.

Source: property-forum.eu