DUBLIN--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/research/477d64/czech_republic_rea) has announced the addition of the "Czech Republic Real Estate Report Q3 2011" report to their offering.
Business Monitor International's Czech Republic Real Estate Report provides industry professionals and strategists, corporate analysts, real estate associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Czech Republic's Real Estate industry.
BMI retains its view that the Czech Republic real estate sector remains among the best positioned in Central and Eastern Europe to benefit from any further growth in core' countries in Western Europe (eg Germany, France and the Benelux countries). With foreign investment strengthening after the effects of the global economic downturn, we forecast promising economic growth for 2011 after minimal performance in 2010.
Still, it might be premature to refer to current conditions as a boom. When we spoke to them at the end of 2010, our in-country sources explained that rents and capital values had stabilised after a difficult period in 2009. Nevertheless, they were looking for yields to remain broadly constant through 2011 and 2012 - implying that rents and capital values were likely to move upwards, if gently, in tandem. Writing in mid- 2011, our impression is that this expectation was reasonable. Our sources anticipated increased demand for office property in downtown Prague, as well as for shopping space nearby.
Other challenges persist. Some protagonists have not been able to access the funds that they need - and/or have become over-extended as a result of deal-making in foreign markets. In May 2011, for instance, ECM Real Estate Investments' stock was suspended following its bankruptcy. Looking forward, we would see volatility in European financial markets as the main challenge to the construction companies and (in particular) developers in the Czech Republic. For the time being, though, we remain reasonably optimistic.
Companies Mentioned:
- Central Group
- ECM Real Estate Investments AG
- Finep
- Orco Property Group
- Passerinvest
- Sekyra Group
- Skanska CZ
For more information visit http://www.researchandmarkets.com/research/477d64/czech_republic_rea