FM Logistic Expands Operations at CTPark Bucharest

CTP is expanding the facility occupied by FM Logistic at CTPark Bucharest by an additional 10,300 sqm, increasing the logistics operator’s footprint across CTP’s Romanian portfolio to approximately 116,000 sqm.

The new warehouse space is being developed at CTPark Bucharest in Dragomirești Vale, west of Bucharest. FM Logistic currently occupies 23,800 sqm at the park. Construction has already commenced, with completion scheduled for the third quarter of 2026.

The expansion follows CTP’s acquisition in 2023 of FM Logistic’s Romanian logistics portfolio through a sale-and-leaseback transaction. The portfolio comprised more than 100,000 sqm of warehouse space located in Bucharest, Pitești and Timișoara. Since acquiring the assets, CTP has continued to invest in the sites while maintaining FM Logistic as a tenant.

According to the companies, the additional space will support FM Logistic’s growing operations in the Bucharest region and accommodate increasing demand from customers across multiple sectors.

Founded in France in 1967, FM Logistic provides warehousing, transport and supply chain services to customers in industries including fast-moving consumer goods, retail, beauty and cosmetics, industrial manufacturing and healthcare. The company has operated in Romania since 2003.

CTPark Bucharest is located near the A1 motorway and serves as a distribution hub with access to Bucharest and the wider Romanian transport network. The industrial park is designed to accommodate logistics, warehousing and last-mile delivery operations.

The latest expansion further strengthens the long-term relationship between the two companies and reflects continued occupier demand for modern logistics space in the Bucharest market.

Fewer Slovaks Took Holiday Trips in 2025 as Financial Pressures Weighed on Travel

The number of Slovak residents taking holiday trips declined in 2025, with domestic travel proving more resilient than outbound tourism as financial concerns continued to influence consumer behaviour.

According to data published by the Statistical Office of the Slovak Republic, approximately 2.9 million residents aged 15 and over took at least one overnight leisure trip during the year, representing 64.5 percent of the population. While this was only a modest decline of 1.3 percent compared with 2024, travel participation remained significantly below pre-pandemic levels, with around 470,000 fewer travellers than in 2019.

The figures indicate a shift in travel patterns, with more Slovaks choosing to holiday exclusively within the country. Domestic-only travel increased by 7.3 percent year-on-year to 1.31 million people, making it the only travel category to record growth. These travellers accounted for nearly 45 percent of all holidaymakers in 2025.

By contrast, the number of residents combining domestic and international trips fell by 9 percent to just over 1 million people. International travel also weakened overall. Around 1.6 million Slovaks travelled abroad during the year, either exclusively or alongside domestic trips, representing a decline of more than 7 percent compared with 2024.

The number of people travelling exclusively abroad also decreased, although at a slower pace. Approximately 577,000 residents took foreign-only holiday trips, down 4.2 percent year-on-year. Despite the decline, this segment remained slightly above its pre-pandemic level.

Domestic tourism continued to play a central role in the travel market. Nearly 2.4 million residents took at least one trip within Slovakia during 2025, either as a standalone domestic holiday or combined with international travel. However, domestic participation remained substantially below 2019 levels, highlighting that the sector has yet to fully recover from the disruptions of recent years.

Age demographics also influenced travel activity. Residents aged between 25 and 44 remained the most active travellers, accounting for more than 1.1 million holidaymakers. Meanwhile, travel participation among seniors continued to decline. The number of travellers aged 65 and older fell by 8 percent year-on-year to fewer than 362,000 people and remained more than one-quarter below pre-pandemic levels.

At the same time, the number of residents who did not take any holiday trip increased. Around 1.6 million Slovaks, representing 36 percent of the adult population, did not participate in overnight leisure travel during 2025. This figure was 3 percent higher than a year earlier and approximately 45 percent above the level recorded in 2019.

Financial constraints emerged as the primary obstacle to travel. Half of all non-travellers cited cost-related reasons for staying home, with the number of people reporting financial barriers rising by roughly 25 percent compared with the previous year. Health concerns remained the second most common reason, accounting for nearly one-third of non-participants. Family-related reasons also became more prominent, with the number of people citing family commitments increasing by around 40 percent year-on-year.

The latest results suggest that while demand for leisure travel remains relatively strong, economic pressures continue to influence consumer decisions. Slovaks are increasingly prioritising domestic destinations and limiting more expensive international travel, reflecting broader concerns about household budgets and affordability.

Summer Heat Raises Questions Over Food Deliveries to Parcel Lockers

The rapid expansion of parcel locker networks across Europe has transformed last-mile deliveries, but food safety experts are warning that high summer temperatures may make standard collection boxes unsuitable for many food products.

As heatwaves become more frequent, specialists caution that enclosed parcel lockers exposed to direct sunlight can reach temperatures far above the outside air, potentially affecting the quality, nutritional value and safety of temperature-sensitive goods.

The warning comes as consumers increasingly order groceries, snacks, dietary supplements and beverages online alongside traditional retail products. While most retailers continue to transport chilled and frozen foods using temperature-controlled logistics, a growing number of shelf-stable products are being delivered to standard self-service lockers.

Food industry representatives note that although these products may not require refrigeration under normal conditions, prolonged exposure to excessive heat can still alter their quality. Chocolate products can soften or melt, baked goods may become damp inside sealed packaging, and nut-based products can deteriorate more quickly when exposed to high temperatures.

Some nutritional supplements are also vulnerable. Products containing probiotics, vitamins or gelatin may lose effectiveness if stored in hot conditions for extended periods. Fermented beverages, including kombucha, may continue to develop pressure inside sealed bottles when exposed to heat, increasing the risk of packaging failure.

The issue is not limited to the Czech Republic. Food safety authorities and consumer organisations across several European countries have issued seasonal guidance encouraging consumers to avoid leaving temperature-sensitive goods in uncontrolled environments during periods of extreme heat. Maintaining an uninterrupted temperature chain remains one of the key principles for preserving food quality and reducing the risk of bacterial growth.

The challenge reflects the broader growth of online grocery shopping across Europe. Parcel lockers have become an important part of urban logistics networks, with thousands of new collection points installed in recent years. However, most standard lockers were designed for general e-commerce rather than products requiring controlled storage conditions.

The logistics industry has already begun responding to changing consumer habits. Retailers and delivery companies in several European markets are expanding the use of refrigerated collection points and temperature-controlled click-and-collect solutions for groceries and pharmaceutical products. These systems allow customers to collect purchases while maintaining appropriate storage conditions until pickup.

Consumers are also being encouraged to consider alternative delivery options during hot weather. Home delivery using refrigerated vehicles, collection from air-conditioned retail locations or refrigerated pickup points may offer better protection for products that are sensitive to temperature fluctuations.

As climate change contributes to longer and more intense summer heatwaves across Europe, experts expect the issue to receive increasing attention from retailers, logistics operators and food manufacturers. The continued growth of online grocery shopping is likely to accelerate investment in temperature-controlled last-mile infrastructure, helping ensure that convenience does not come at the expense of product quality or consumer safety.

Source: CTK & CIJ EUROPE Analysis Team

Ukraine Shifts Focus from Wartime Survival to Long-Term Institutional Renewal

As the war continues, Ukraine is increasingly turning its attention from emergency management to the long-term reforms needed to support reconstruction, attract investment and strengthen its path toward deeper integration with Western institutions.

The latest assessments released by the Organisation for Economic Co-operation and Development (OECD) highlight progress across several key areas, including infrastructure planning, public administration and the justice system. Together, the reviews paint a picture of a country attempting to modernise core institutions while simultaneously responding to the challenges of an ongoing conflict.

The findings suggest that Ukraine’s recovery will depend not only on rebuilding damaged infrastructure but also on creating the institutional foundations necessary to support economic growth, private investment and public confidence in the years ahead.

One of the most significant challenges remains reconstruction financing. International estimates place the country’s recovery needs at approximately USD 588 billion over the next decade, a figure that far exceeds the resources currently available through public budgets and international aid programmes. This has reinforced the view among international organisations that private capital will be essential to rebuilding efforts.

According to the OECD, improving the quality of project preparation, procurement processes and investment planning will be critical to attracting long-term investors. The organisation argues that reconstruction projects must be financially viable, technically robust and supported by transparent decision-making if they are to secure financing from both public and private sources.

The reviews also underline the importance of strengthening legal certainty and institutional credibility. Despite the disruption caused by the war, Ukraine has continued implementing reforms aimed at improving judicial oversight, public administration and anti-corruption measures. International observers note that maintaining momentum in these areas will be essential for creating a stable environment for businesses and investors.

Governance reforms have become increasingly linked to Ukraine’s broader international ambitions. Efforts to align public institutions with European standards are progressing alongside the country’s aspirations for closer integration with both the European Union and the OECD. Recent discussions with international partners have placed particular emphasis on the effectiveness of public institutions, the rule of law and administrative capacity.

The OECD also points to the need for stronger coordination across government, arguing that reconstruction will require a clear strategic framework capable of linking national priorities, public spending and long-term development objectives. Ensuring that ministries and public agencies work toward common goals is viewed as a key factor in delivering reconstruction projects efficiently and transparently.

Infrastructure remains at the centre of the recovery agenda. Transport networks, energy systems, water infrastructure and digital connectivity are all considered essential for restoring economic activity, improving living standards and enhancing competitiveness. However, international experts increasingly emphasise that rebuilding physical assets alone will not guarantee long-term success.

Financial institutions including the World Bank, European Bank for Reconstruction and Development and European Investment Bank have repeatedly stressed that institutional quality will play a decisive role in determining reconstruction outcomes. Transparent governance, predictable regulations and efficient public administration are widely regarded as prerequisites for unlocking large-scale private investment.

The OECD reviews therefore suggest that Ukraine’s reconstruction challenge extends beyond bricks and mortar. While repairing damaged infrastructure remains a priority, the country is simultaneously engaged in a broader effort to modernise the institutions responsible for managing economic development.

For investors, developers and infrastructure companies watching the market, the message is clear: future opportunities will depend not only on reconstruction funding but also on the strength of the governance systems overseeing its deployment. As Ukraine plans for the next phase of its recovery, institutional reform is emerging as a central component of the country’s long-term economic strategy.

 

Cities Increasingly Borrow Successful Policies from One Another to Tackle Urban Challenges

Cities around the world are increasingly looking beyond their borders for solutions to some of their most pressing challenges, according to a new OECD study that examines how local governments adopt and adapt successful policies developed elsewhere.

The report, A Toolkit for Adopting Ideas from Other Cities, highlights a growing trend among municipalities to draw on proven approaches from peer cities when addressing issues such as housing affordability, climate resilience, mobility, infrastructure development and social inclusion. Rather than designing programmes entirely from scratch, city leaders are increasingly seeking inspiration from initiatives that have already demonstrated results in other locations.

The OECD notes that urban authorities are operating under mounting pressure. Housing shortages, ageing infrastructure, environmental risks and widening social inequalities are placing increasing demands on local governments at a time when many face financial and administrative constraints. As a result, city administrations are becoming more focused on identifying solutions that can be implemented more quickly and with lower levels of uncertainty.

Research conducted for the study found that nearly four out of five surveyed cities had either adopted or attempted to adopt at least one idea originating elsewhere during the past five years. Environmental programmes, urban planning initiatives, infrastructure projects and transport solutions were among the most commonly replicated policy areas.

The findings suggest that borrowing ideas has become a mainstream component of urban policymaking. However, the report also reveals that transferring successful initiatives from one city to another is rarely straightforward. Only 42 percent of surveyed municipalities reported fully implementing borrowed ideas, while many others introduced only selected elements or remained at pilot-project stage.

According to the OECD, this reflects the reality that policies rarely function as simple templates. Cities must adapt initiatives to local legal frameworks, governance structures, budgets, demographics and political priorities. Successful implementation often requires substantial modification rather than direct replication.

The report highlights examples from cities across Europe, North America, Latin America, Africa and Asia that have adapted external concepts to local circumstances. In Greece, local authorities explored international approaches to social housing while responding to affordability pressures. In Tanzania, municipal leaders drew inspiration from waste-management practices developed elsewhere in Africa. In the United States, cities adapted housing and social-service programmes first pioneered in other jurisdictions.

One of the study’s central conclusions is that political leadership remains the most important factor determining whether an external idea can be successfully implemented. Strong support from elected officials helps secure resources, mobilise administrative teams and maintain momentum throughout implementation. Cities that treat knowledge-sharing as a structured process rather than an occasional exercise were found to be more successful in adapting ideas to local needs.

The OECD also found that city networks play an increasingly important role in facilitating policy exchange. Digital platforms and international urban partnerships have significantly expanded opportunities for municipalities to learn from one another, regardless of geographic location. These networks allow city officials to share experiences, evaluate outcomes and avoid repeating costly mistakes already encountered elsewhere.

The report argues that effective policy adoption requires three key stages. First, cities must build internal capacity to identify and evaluate external ideas. Second, they need robust mechanisms to assess whether those ideas are compatible with local conditions. Finally, they must adapt and implement selected initiatives while engaging residents, stakeholders and public institutions throughout the process.

For urban policymakers, the OECD’s message is clear: the future of city innovation will increasingly depend not only on creating new ideas, but also on identifying, adapting and improving solutions that have already proven effective elsewhere. As urban challenges become more complex and interconnected, international collaboration among cities is emerging as an important tool for accelerating progress and improving public outcomes.

Source: OECD, A Toolkit for Adopting Ideas from Other Cities (2026)

Europe’s Demographic Divide Is Redrawing the Future of Residential Property

For decades, residential property has been viewed as one of Europe’s most reliable long-term investments. However, a growing body of research suggests that demographic change may become one of the most important forces shaping housing markets in the coming decades, creating clear winners and losers across the continent.

Population ageing, lower birth rates and shifting migration patterns are altering the balance between housing supply and demand in many European countries. While these trends are unlikely to trigger a broad decline in residential values, they are expected to increase the gap between regions attracting people and investment and those experiencing population decline.

Economists and real estate analysts increasingly argue that future property performance will depend less on national housing markets and more on local demographic and economic conditions. Areas benefiting from employment growth, infrastructure investment and inward migration are expected to remain resilient, while locations losing younger residents may face slower demand growth and weaker long-term price performance.

The issue has gained prominence across Europe this year as policymakers, researchers and investors assess the long-term implications of demographic shifts. Several studies have concluded that ageing populations are likely to influence housing demand, but not necessarily in the way many investors expect.

In Germany, analysts have noted that demand for housing may remain relatively strong despite slower population growth because households are becoming smaller and more urbanised. Similar trends can be observed in several other European markets, where migration toward major cities continues to support residential demand even as national populations age.

Southern European countries are facing a different challenge. While demographic pressures remain significant, housing shortages in many urban areas continue to support prices. Strong demand from international buyers, migration and limited new construction have offset some of the effects that ageing populations might otherwise have on residential markets.

At the same time, demographic change is creating entirely new segments within the real estate sector. Demand for senior living communities, healthcare-related housing and age-friendly residential developments is growing as Europe’s population structure evolves. Investors increasingly view these sectors as long-term opportunities tied directly to demographic trends.

Recent housing market data across the European Union suggests that demographics alone are not currently driving property prices. In many countries, residential values have continued to rise despite declining birth rates and ageing populations. Factors such as housing shortages, construction costs, wage growth and mortgage availability continue to play a dominant role in determining market performance.

Nevertheless, experts believe demographics will become increasingly influential over longer time horizons. Regions experiencing sustained population decline may eventually face reduced demand for housing, while economically dynamic urban centres are likely to continue attracting residents and investment.

The growing importance of demographic factors is also changing the way investors evaluate residential assets. Rather than relying on national market trends, many are paying closer attention to local population growth, labour market conditions and migration patterns when assessing future value.

For homeowners and investors, the message emerging from current research is not that residential property is losing its appeal. Instead, it suggests that the traditional assumption that all real estate will appreciate over time is becoming less certain. Future success may increasingly depend on selecting locations with strong economic fundamentals and favourable demographic prospects.

As Europe continues to adapt to an ageing population, the residential market is expected to become more fragmented, rewarding regions capable of attracting people, jobs and investment while presenting new challenges for areas struggling with demographic decline.

Source: © CIJ EUROPE Analysis Team

Oil Retreats as Gulf Shipping Recovers, but Traders Remain Alert to Geopolitical Risks

Global oil prices moved lower this week as investors responded to signs of improving maritime activity in the Gulf and growing expectations that energy supplies could become more readily available in the coming months.

Benchmark crude prices declined to their lowest levels since tensions in the Middle East escalated earlier this year, reflecting a shift in market sentiment from concerns over supply disruptions toward expectations of improving trade flows and increased export volumes.

The easing of prices comes as commercial vessels have gradually resumed movement through the Strait of Hormuz, one of the world’s most strategically important energy transport routes. The waterway handles a significant share of global oil and liquefied natural gas exports, making any disruption a major concern for energy markets.

Recent shipping data indicate that some vessels previously unable to transit the region have resumed their journeys, while international maritime authorities are coordinating efforts to assist hundreds of ships and thousands of crew members affected by months of restrictions and uncertainty.

The return of vessel traffic has helped calm fears of an immediate supply shortage. At the same time, traders are increasingly focusing on the possibility that additional crude volumes could enter the market if diplomatic negotiations continue to progress and restrictions on Iranian exports remain relaxed.

Analysts note that Iran possesses substantial quantities of oil already stored in offshore facilities and aboard tankers, allowing exports to increase relatively quickly if market access improves. This prospect has contributed to expectations that global supply could strengthen in the short term.

However, industry observers caution that conditions in the region remain far from normal. Although shipping activity has resumed, vessel movements are still well below historical averages, while freight rates and insurance costs remain elevated due to ongoing security concerns.

Maritime operators continue to monitor developments closely, with many shipping companies maintaining precautionary measures despite the improving situation. Large numbers of commercial vessels are still awaiting clearance or scheduling opportunities before returning to regular trading patterns.

The market is also closely watching the diplomatic relationship between Washington and Tehran. While recent discussions have helped ease tensions, questions remain regarding future nuclear oversight arrangements, sanctions policy and the long-term durability of current agreements.

Energy analysts warn that financial markets may be pricing in a relatively optimistic outcome, while several geopolitical issues remain unresolved. Any deterioration in negotiations or renewed disruption to regional shipping could quickly reverse the recent decline in oil prices.

For now, however, investors appear increasingly confident that the risk of a major interruption to global energy supplies has diminished. As a result, the geopolitical premium that had supported higher oil prices in recent months is gradually being reduced, shifting attention back toward global supply and demand fundamentals.

The coming weeks are expected to be critical in determining whether maritime traffic returns to normal levels and whether diplomatic progress can translate into a more stable environment for global energy markets.

Brussels Unveils Plan to Strengthen Europe’s Response to Organised Crime and Security Threats

The European Commission has proposed a new package of reforms designed to improve how European authorities respond to organised crime, terrorism and other security threats that increasingly operate across national borders.

The initiative reflects growing concern that criminal groups are becoming more sophisticated, making greater use of digital technologies, international networks and online platforms to conduct illegal activities. European policymakers argue that existing structures need to evolve to match the speed and complexity of modern threats.

Under the proposed reforms, European law enforcement and judicial bodies would receive additional resources and broader responsibilities to help national authorities investigate and prosecute crimes that involve multiple countries. The package also seeks to improve the exchange of information between agencies, allowing investigators and prosecutors to coordinate more effectively across jurisdictions.

A key element of the proposal is the creation of enhanced digital infrastructure that would allow authorities to access and analyse information more efficiently while maintaining legal safeguards and data protection standards. The Commission believes that faster access to relevant information is essential as criminal organisations increasingly rely on encrypted communications, digital financial systems and emerging technologies.

The plans also include placing specialised support teams closer to national authorities, enabling faster cooperation during complex investigations. Judicial cooperation is expected to be strengthened as well, with measures aimed at reducing procedural barriers and accelerating the handling of cases involving multiple Member States.

European officials have highlighted the growing challenges posed by cyber-enabled crime, large-scale fraud schemes, human trafficking networks, drug-related offences and terrorist activities. According to the Commission, many of these threats no longer operate within the borders of a single country, requiring a more coordinated European response.

The proposals form part of the European Union’s broader effort to reinforce internal security and improve resilience against evolving risks. Alongside traditional criminal activities, policymakers are paying increasing attention to cyber threats, attacks on critical infrastructure and the misuse of advanced technologies by criminal organisations.

For businesses operating across Europe, particularly in sectors such as logistics, transportation, finance, technology and critical infrastructure, the reforms could lead to closer cooperation between regulators and law enforcement authorities, as well as increased scrutiny of illicit financial flows and organised criminal activity.

The legislative package will now enter the European Union’s decision-making process, where it will be reviewed by both the European Parliament and Member States before any measures can be adopted and implemented.

If approved, the reforms would represent one of the most significant updates to Europe’s cross-border security framework in recent years, reflecting the bloc’s determination to adapt its institutions to an increasingly interconnected and digitalised threat landscape.

Poland’s Summer Jobs Offer Strong Earnings as Students Stay Closer to Home

Seasonal employment in Poland continues to offer attractive earning opportunities for students and young workers, with some roles generating hourly incomes that rival or exceed those available abroad.

According to an analysis by Personnel Service, while the number of summer job vacancies has declined compared with previous years, wages remain competitive across a range of sectors. In some cases, earnings can exceed PLN 50 net per hour, with additional bonuses, commissions and tips significantly increasing overall income.

The findings suggest that holiday work in Poland is becoming a more appealing option for students who traditionally sought seasonal employment abroad. Rising living costs in Western Europe, combined with favourable tax exemptions for workers under the age of 26, have improved the attractiveness of domestic opportunities.

Hospitality remains one of the most lucrative sectors during the summer season. Waiters working in popular tourist destinations can reportedly earn up to PLN 150 net per hour when tips are included. Many employers also provide meals and, in some cases, accommodation, further increasing the value of seasonal contracts.

Construction ranked second among the highest-paying summer occupations. Demand for workers typically rises during the warmer months as projects accelerate, while skilled labour shortages continue to support wage growth. Depending on qualifications and age, workers can earn between PLN 30 and PLN 75 net per hour.

Childcare services also remain in high demand during the holiday period. Families seeking support during vacations and school breaks are helping drive earnings for babysitters, with rates reaching as much as PLN 63 net per hour. Some positions additionally include accommodation, meals or travel opportunities.

The busy calendar of festivals, concerts and outdoor events has created strong demand for temporary event staff, including hostesses, promoters and support personnel. Hourly earnings generally range between PLN 26 and PLN 57 net depending on age, experience and assignment type.

Water sports instructors have also benefited from the popularity of active tourism. Specialists teaching activities such as kitesurfing and stand-up paddleboarding can earn up to PLN 55 net per hour while working in resort destinations.

Beyond the highest-paying roles, logistics and warehouse operations continue to offer stable employment opportunities. Growing e-commerce activity and seasonal increases in consumer demand are supporting recruitment across the country. Students can earn up to PLN 50 net per hour in some warehouse positions, while older workers typically receive between PLN 26 and PLN 31 net per hour.

Agricultural work remains another significant source of seasonal employment. Fruit and vegetable harvesting continues to attract large numbers of workers each summer, with hourly earnings generally ranging from PLN 25 to PLN 45 net depending on age and employment status.

Summer camps and holiday programmes also provide opportunities for youth workers and camp counsellors, while seasonal food outlets, ice cream stands, hotels and guesthouses continue to recruit staff to meet increased tourist demand.

The analysis highlights how Poland’s seasonal labour market is evolving. Although international summer work remains an option for many young people, competitive domestic wages, tax advantages and lower living costs are making local opportunities increasingly attractive. For students seeking to finance their studies, summer employment in Poland now offers a realistic alternative to working abroad.

Prague Office Vacancy Falls as Demand Concentrates Around Key Metro Stations

Office locations near several Prague metro stations are experiencing some of the lowest vacancy rates in the city, reflecting continued tenant demand for well-connected office space, according to new research from Colliers.

The analysis found that areas around the Prague Metro stations Invalidovna, Hlavní nádraží and Flora currently have vacancy rates of approximately 1 percent, making them among the tightest office markets in the Czech capital.

Other locations with limited availability include Radlická, Náměstí Republiky, Křižíkova and Nádraží Holešovice, where vacancy rates are close to 2 percent. Vacancy levels around Vltavská, Vysočanská, Florenc and Pražského povstání remain near 3 percent.

The overall vacancy rate in Prague’s office market has fallen below 6 percent in 2026, although significant differences remain between districts. In prime AAA-rated buildings in the city centre, vacancy stands at just 2.3 percent, while the district of Karlín reports a rate of 2.7 percent. Brumlovka and Pankrác remain relatively tight markets with vacancy rates of 4.8 percent and 5.2 percent respectively.

In contrast, several peripheral office locations continue to record higher levels of available space. The area around Želivského has the highest vacancy rate at 28 percent, followed by Stodůlky at 18 percent, Kolbenova at 15 percent, Roztyly at 14 percent and Nové Butovice at 13 percent.

Despite these higher figures, Colliers notes that vacancy levels in several outer districts have improved over the past year. Vacancy around Želivského declined from 35 percent to 28 percent, while Roztyly fell from 20 percent to 14 percent and Kolbenova from 17 percent to 15 percent.

Rental levels continue to vary considerably across the city. Prime office rents remain highest in central Prague, particularly around Náměstí Republiky and Muzeum, where top-tier office space commands around €30 per sqm per month. Similar rental levels are also being achieved near key transport hubs such as Národní třída and Křižíkova.

Outside the historic core, rents exceeding €20 per sqm per month are being recorded in locations including Pankrác, Budějovická, Invalidovna, Palmovka and Roztyly, supported by modern office stock, strong transport links and growing occupier demand.

At the lower end of the market, Petřiny records prime rents of approximately €10 per sqm per month, followed by Zličín at €13 and Opatov at €14.

According to Josef Stanko, the Prague office market is becoming increasingly polarised, with highly sought-after districts experiencing limited supply while other locations continue to offer greater availability.

Looking ahead, the ageing of Prague’s office stock is expected to become a major factor influencing the market. Colliers estimates that by 2030, approximately 600,000 sqm of office space in the city will be more than 20 years old. This is expected to create opportunities for refurbishment, upgrades to technical standards and, in some cases, conversion to alternative uses.

The report highlights that access to public transport, particularly metro connections, remains one of the key factors influencing office demand, rental levels and occupancy across Prague’s office market.

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