1 Sep 2017
M7 Real Estate Czech Republic improves tenancy profile and void rate at Oregon House, Prague
Prague, 1 September 2107 – M7 Real Estate, the pan-European investor and asset manager which specialises in the regional, multi-let real estate market, announces that it has achieved a significant improvement in its tenancy profile and void rate at Oregon House in Prague due to an active asset management and capex programme.
Oregon House, a modern office building prominently located in the 13th district of Prague offering 14,330 sq m of space, was purchased by M7 CEREF I (the “Fund”) in October 2016. Since the acquisition, M7 Real Estate Czech Republic (“M7”) has successfully concluded a number of new leases and lease regears resulting in the reduction of the vacancy rate from 32.7 % to 11.5%.
New lettings include a five year lease to Sportisimo, the leading Czech sporting goods retailer, which is occupying two floors of the building totalling 2,557 sq m of space. M7 supported Sportismo’s creative concepts for their new office space. IKEA Česká Republika recently took a 5 year lease of 719 sq m. With IKEA Purchasing Services (who was an existing tenant), Oregon House now provides 2,693 sq m for two IKEA group companies. Ford has also taken a new lease of 452 sq m.
ProCeram (tiles, bathroom and kitchen retailer) has signed a new 10 year lease expanding its existing space by an additional 336 sq m and now occupies the whole of the ground floor with its showroom.
Dana Bednářová, Senior Asset Manager commented: “We have been highly encouraged by the level of tenant interest since the acquisition of Oregon House and we are pleased to welcome the well-known companies into the building. The high quality and flexibility of the property, the generous parking ratio and the connectivity to metro line and Prague airport make the building attractive for tenants. We continue to have discussions with prospective tenants and are optimistic that we can reduce the void level even further in the near future.”