The Czech Republic’s commercial real estate market has seen a significant surge in investment activity in the first quarter of 2025, with more than €1bln in transactions completed. This represents a 180% year-on-year increase and marks the strongest quarter for the country since 2020.
The surge aligns with a broader European trend, where Q1 2025 investment volumes are expected to exceed €50bln, reflecting a 28% rise compared to the same period last year. According to Savills, a widespread recovery is underway across Europe, with the Czech Republic, Portugal, France, Ireland, and Romania leading in investment growth.
The Czech market’s exceptional performance has been driven by a series of high-value transactions, including a landmark €370m acquisition by US-based Blackstone, which secured industrial assets from TPG and Contera. Analysts suggest this deal signals a potential return of large-scale foreign investors to the market.
Across Europe, investor interest is intensifying across multiple asset classes, including prime offices, hospitality, retail, data centres, and logistics. With resilient long-term fundamentals supporting market confidence, the European real estate sector appears poised for sustained momentum in 2025.
Fraser Watson, Head of Investment in Savills Czech Republic & Slovakia, says: “This surge of investment volume in the Czech Republic is largely attributed to the completion of several unusually large transactions, a rare alignment of factors, although overall market activity is expected to remain higher than in 2024. One of the standout deals was led by US-based Blackstone, the world’s largest alternative asset manager, which acquired industrial assets from TPG and Contera for €370 million. This could be a bellwether for the return of large foreign investors to the Czech market.”
