MARKET IN MINUTES | CZECH REPUBLIC INDUSTRIAL MARKET Q1 2026

The year started with a high volume of new development completions, which totalled 358,000 sq m in Q1 2026, representing a 14% year-on-year increase and the strongest first-quarter result in the market’s history. Full-year completions are expected to slightly exceed 1 million sq m of GLA in 2026.
Total modern industrial stock in the country intended for lease expanded to 14.07 million sq m. The market vacancy rate decreased only marginally, from 5.2% in December 2025 to 5.1% in March 2026, with the Pilsen and Moravian-Silesian regions recording the highest levels of vacant space.
Demand for industrial space moderated following two exceptionally strong quarters, both in terms of total leasing activity and net demand. Compared to the previous two quarters, gross take-up declined by 29%, totalling 461,100 sq m in Q1 2026. Despite the slowdown, overall demand remained broadly in line with the ten-year Q1 average.
Net take-up also declined from the elevated levels recorded in the final two quarters of 2025. In Q1 2026, new lease commitments reached 224,900 sq m, only 5% below the ten-year Q1 average. South Moravia accounted for the highest share of net demand during the quarter, capturing 26% of total volume.