MARKET IN MINUTES | CZECH REPUBLIC INDUSTRIAL MARKET Q2 2025

New deliveries in the first half of 2025 totalled 447,100 sq m, with 32% of that space remaining vacant as of June 2025. The volume of completed construction was 41% higher than in the same period last year and 34% above the 5-year H1 average. However, this growth was driven almost entirely by the exceptionally strong first quarter.
The new supply brought the total modern industrial stock nationwide to 13.34 million sq m. The national vacancy rate continued its upward trend for the third consecutive quarter, reaching 5.5% in June 2025.
Supported by a strong first quarter, gross take-up in H1 2025 reached 788,600 sq m, representing a 9% y-o-y increase. However, from
a long-term perspective, leasing activity remains 12% below the 10-year H1 average. The proportion of lease renewals rose compared to the long-term average, accounting for 55% of gross take-up in H1 2025.
Net leasing activity remained subdued, recording the weakest H1 performance since 2014. Tenants committed to 355,700 sq m of new leases for modern industrial space during H1 2025, down 30% y-o-y and 35% below the 10-year H1 average. The Greater Prague submarket attracted the highest volume of new leases, contributing one-third of total H1 net take-up. In terms of tenant profile, demand was primarily driven by logistics service providers, who accounted for 37% of net take-up in H1 2025.