KARLÍN DOMINANT AMONG PRAGUE OFFICE HUBS
According to CBRE, Karlín has been Prague’s most favorite office location. Among nine office hubs located within Prague, Karlín is third (after Pankrác-Budějovická and the City Center) in terms of the size of area, but dominates the whole city in terms of take-up, i.e. total amount of space leased excluding renegotiations.
In the past four quarters, more than 55,600 sq m of office space was newly leased in Karlín, representing 32% of net take-up in Prague overall. Almost 20% of new tenants, relocating within stock or moving up from class C buildings, were attracted to the project River City (the first major new build development in Karlín) and moved their seats to either Danube House, Nile House or Amazon Court.
Also, six of the ten largest new leases of the past year were signed in Karlín, including the prelease of Economia at Karlín Hall I or the new lease of Equa Bank at Amazon Court.
Jana Prokopcova, Head of Research, further explains: “Karlín has been developing very fast mainly because landlords manage to provide high quality class A office space in brand new office buildings at competitive terms and conditions. However, the success of Karlín is also a result of the lack of available high quality class A office space in the city center and other inner city locations such as Pankrác and Anděl.“
New development in Karlín
Karlín was the most active hub in terms of new supply last year. According to CBRE statistics, in the past year 6 new buildings totaling 71,900 sq m were completed in Karlín, including Futurama Business Park, Main Point Karlín, Keystone Office Building or River Garden Office I in which major companies such as Kooperativa, ADP or Unilever decided to move their headquarters. Other locations with the largest number of newly completed buildings were Pankrác-Budějovická and Smíchov Anděl, which together totaled the same number of completions as Karlín - six.
Karlín under construction
CBRE expects Karlín to strengthen its position as the third largest office hub in Prague. “There are currently two buildings under construction, the first and the second phases of Karlín Hall, but we expect further developments to start in the near future in this location as there are already numerous projects having a building permit, e.g. the next phases of Corso Karlín, Futurama or River Garden”, Jana Prokopcová adds.