On March 24, AmCham Real Estate Council met for an annual commercial real estate market update, moderated by Jan Adámek of JAN Hospitality, covering the office, retail and industrial sectors. Experts from JLL (Blanka Vačkova, Mike Atwell, Tomáš Soukup), 108 Agency (Petr Florián) and BNP Paribas (Dušan Drábek, Kamila Breen) outlined most recent data and trends. The traditionally strong demand for office space has weakened, the pandemic-hit demand for retail space and hotels has not recovered, and the demand for „beds and sheds“ (residential and industrial real estate) has been on the rise. Prime yields from real estate assets have decreased across Europe, but the market could recover from 2022. Prague will need a longer time to recover and government support, including vaccination, is crucial. Domestic demand is necessary for the economy to pick up and behavior of consumers is crucial for all sectors. Will the investment and spending rebound?

It´s already been a year ago since the first cases of the new Covid-19 disease appeared in the Czech Republic, which gradually reduced the possibility of personal contacts and caused a massive transition to the online environment in the global labor markets. Probably none of us expected that even a year later this situation will not change much. Companies have worked intensively on new measures, directives and rules over the past year, and many of these changes are likely to become a permanent part of our working lives.