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The Hradec Králové Region started construction of networks for the expansion of the Solnice-Kvasiny industrial zone

Solnice (Rychnov Region) - The Hradec Králové Region, in cooperation with the state, has started the construction of infrastructure for the expansion of the Solnice-Kvasiny industrial zone in the Rychnov Region at a cost of CZK 670 million. The Ministry of Industry and Trade will provide a state subsidy of 410 million. Everything should be ready by the end of 2025. The representatives of the region told journalists. The aim is to connect the industrial zone to the transport and technical network and improve traffic on the I/14 road between Solnica and Rychnov nad Kněžnou. It is part of the state and regional investment in public infrastructure in the Solnice-Kvasiny zone, where the Škoda Auto car company has its largest factory.

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Construction of 7 million m² of industrial space is planned in the Czech Republic, brownfields will not be avoided

What unites the Karlovy Vary, South Bohemia, Liberec and Ústí nad Labem regions in terms of industrial property developers? It is not the lowest supply and construction activity in the long term, on the contrary. According to the analysis of the real estate consulting company 108 AGENCY, these four regions are expected to add the most new warehouse and production space in proportion to their current volume in the coming years. In total, the consultants have mapped development projects in the Czech Republic with a floor area of over 6.8 million sqm, which are at various stages of permitting and preparation - from environmental impact assessment, zoning decision/building permit to the first implementation works. 54% of the planned projects belong to three developers: CTP, Panattoni and Prologis.

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Czech logistics and manufacturing are increasingly running on solar power

Developers, tenants and owners of industrial and warehouse space in the Czech Republic are currently investing heavily in their own solar power plants. This trend reflects not only the progressive modernisation of the energy sector, but also the gradual move away from dependence on fossil fuels. Within this wave of innovation, we are also seeing extensive technological modifications being carried out in parallel on many buildings, aiming at an overall cut in energy consumption. One of the largest rooftop solar power plants to date is at the Urbanity Campus Tachov industrial park, with a reported installed capacity of 5 MW and an approximate annual production of more than 5,000 MWh of electricity.

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Industrial property market shaped by shorter supply chains and lower carbon footprint

Manufacturing companies are commanding a growing share of industrial property leases in the Czech Republic. In doing so, they are steadily displacing demand from logistics companies and tenants engaged in retail, especially e-commerce. In the second quarter of this year, lettings to manufacturers accounted for 60% of the 266,443 m2 newly leased. When lease renewals are factored in, lettings totalling 567,445 m2 were closed in the second quarter, up 50% on the previous quarter. These figures come from a fresh analysis by 108 AGENCY, one of the leading real estate consultancies for industrial property leases and sales.

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