REAL ESTATE NEWS

Abundance of newly built retail space

Every big city in the country will have at least one new shopping mall

The Czech Republic now has 60 shopping malls and retail parks with a total area of 1.4 million m2 of available retail space for sale and equal number of quality retail space for rent. In three years this number will grow by additional 600,000 m2 according to survey of the global property agent Jones Lang LaSalle.

Some of the existing shopping centers will be expanded and 15 new shopping malls will be built. In addition to retail space, in many cases these center offer quality office space as well. Galerie Fenix shopping gallery that will be launched in the Prague district of Vysocany in mid-March is one of the two big projects that will enlarge the Czech shopping area this year. Also, Arkady Pankrac shopping mall next to Pankrac City in Prague 4 will be opened with an area of 40,000 m2. Prague has 28 shopping centers with an area of 700,000 m2 after the launch of Palladium at Namesti Republiky Square at the end of last year or 583 m2 per 1,000 inhabitants. The figure is lower compared with Western European capital cities whose shopping area is 800 to 900 m2 per 1,000 residents.

Brno is closer to Western Europe’s average; it has 11 shopping centers with a total area of 330,000 m2 or 899 m2 per 1,000 inhabitants. The best centers are Olympia and Galerie Vankovka with Campus project near completion with additional 20,000 m2. Ostrava in northern Moravia has 7 shopping centers, 120,000 m2 in area, and in the next three years a further 7 centers are to be built there with an area of 200,000 m2.

Plzen has five shopping malls, their area at 150,000 m2 including recently opened Plzen Plaza. Two additional retail parks are under construction. With exception of prime locations in Prague, the number of available retail space for sale and rent is bringing down the cost. Affordable prices should propel the business and increase the number of retail businesses much to the pleasure of the ordinary customers.