Prague’s highest office rents can be found near these metro stops

The construction of the metro D line is creating new opportunities for office development along the route. Staff

Written by Staff Published on 09.05.2023 13:00:00 (updated on 09.05.2023) Reading time: 3 minutes

The highest office rents in Prague are currently found near centrally located metro stations such as Muzeum or Náměstí Republiky, while the lowest office rents are found in the vicinity of Petřiny or Náměstí Míru. In the future, the opening of the metro D line will also make office space along that route more attractive.

Close proximity to public transit as well as the services and amenities found near stops are aspects people often consider when deciding whether to accept a job offer.

“They do not want to spend too much time going to and from work, so it is important that offices are no more than a 10-minute walk from the nearest metro station,” Jana Vlková, director of workplace advisory and office agency at real estate consultancy Colliers, said in a press release.

A new map compiled by Colliers shows typical office space rents in Prague. The most expensive offices, currently located near the Muzeum and Náměstí Republiky metro stations, rent for EUR 26.50 to EUR 27.00 per sqm per month. Národní třída and Můstek were close behind, at EUR 24.00 and EUR 22.50 respectively.

The Muzeum and Můstek stops both service the Wenceslas Square area, while Můstek is also close to Na Příkopě, which has long had some of the city’s highest rents. At the Náměstí Republiky stop, a new office complex designed by the late architect Zaha Hadid is nearing completion, while Národní třída is home to the Quadrio complex.

The cheapest offices, at EUR 10.50 per sqm per month, are around the Petřiny metro station, followed by Náměstí Míru and Radlická at EUR 12 per sqm per month. The latter two locales have not had any new office projects built there for a long time, which has kept rents from rising.

New potential for offices along metro line D

The construction of the metro D line, which will extend from the city center to the southern part of Prague, will bring new opportunities for office projects. The long-planned metro line is currently under construction and expected to go into operation in the fall of 2029.

Within a few years, over 6,000 new apartments and tens of thousands of square meters of modern offices will be built along the metro route.

“Although the first metro train is not due to run on the new line until 2029, there are already plans for office buildings around some of the future stations. One of the largest office locations would be at or near the Nové Dvory station,” Colliers senior analyst Josef Stanko said.

“However, we expect that prices in these locations will have to respect the levels in established office markets. Market pressure to add value in the form of innovative, sustainable buildings with diverse amenities will push rents up everywhere, depending on how financing, construction, and materials costs evolve," he added.

Other stops ripe for redevelopment

Other areas near metro stops in Prague also offer a lot of potential. “The construction of line D will bring many new opportunities not only for residential but also for commercial development. We shall not forget that that several metro stations such as Hradčanská, Želivského, or Pražského povstání offer good potential for redevelopment of the existing office properties,” Vlková said.

Office rents in the survey used for the map are based on repeatedly achievable rent for a unit between 500 to 1,000 sqm in the most advanced office building in the most sought-after location in a given area. Unique units and specific transactions are not taken into account, according to Colliers.

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