CTP, Continental Europe’s leading listed developer and owner of logistics real estate by gross lettable area (GLA), has added 69,000 sqm of buildings and development land to its CTPark Brno Líšeň in the Czech Republic through a sale-and-leaseback transaction with Zetor Tractors, the Czech agricultural machinery producer. The acquisition marks a major step in the overall €125 million transformation of the former Zetor brownfield industrial site into a modern new park for light manufacturing, retail, research, and inner-city logistics which CTP embarked on in 2019. The transaction sees CTP consolidating its ownership in the Líšeň district, increasing the total land size to 29 hectares. Upon completion, CTPark Brno Líšeň will provide some 150,000 sqm of lettable area with over 2,500 jobs.
David Chládek, Country Head, CTP Czech Republic said: “We have worked with Zetor for the past three years and this transaction represents an important milestone in the project for CTP, having agreed on several deals leading to the creation of the largest brownfield industrial / logistics redevelopment by GLA in Brno. We have already developed 30,000 sqm of facilities at this location and continue to see strong demand for new space in our pipeline. The park is positioned in a prime location as a last-mile logistics and urban infill hub within the city ring road, just five kilometres to the east of the city centre and within easy reach of the airport. This makes it the perfect spot for businesses of all sizes, particularly e-commerce and urban logistics operators.”
Zetor Tractors will continue to occupy the buildings that CTP has acquired in the latest transaction for its production activities.
CTP aims to complete the c. 80,000 sqm of space currently under construction at CTPark Brno Líšeň by 2024/2025, transforming a previously derelict area of Brno into a thriving urban business park. All the properties are built to BREEAM Excellent standards and solar energy is being used as a secondary source of electricity. The park’s current local and international occupiers include Europe’s leading online grocery delivery services provider Rohlik.cz, Czech supermarket and hypermarket chain Albert (part of the Netherlands-based Ahold Delhaize group), car soundproofing and accessory retailer Ahifi and Moog Brno— a major European manufacturer of specialist electrical machinery for the aerospace, automotive and energy industries.
Jakob Kodr, Head of Business Development, CTP Czech Republic, said: “CTPark Brno Líšeň offers occupiers newly-built, flexible space in an inner-city business park location. Our strategy of developing parks that are adaptable to the changing nature of global and local businesses in and around urban centres is exemplified here. The transaction shows our long-term commitment to both the businesses that operate here and the surrounding community that work and pay taxes. The park is designed to be energy neutral and will include photovoltaic panels and water conservation.”
Brno, the Czech Republic’s second-largest city, is known as the country’s ‘silicon valley’ and is located at the key logistical position connecting Vienna, Bratislava and Prague. In Brno, CTP has developed the largest concentration of its high-tech parks with CTPark Brno Líšeň being the company’s third brownfield redevelopment within the city, alongside its Ponávka business park and Vlněna office centre.
Brno is also home to a large cluster of high-tech companies and benefits from the availability of skilled labour and the presence of 13 universities in the region. Rental and labour costs in this part of the Czech Republic are amongst the lowest in the European Union.
CTP has a share of almost 40 percent of the Czech industrial and logistics real estate market and 67 percent in Brno. Its total occupancy rate in the country is 96 percent. The company broke all previous records in 2021 delivering some 480,000 sqm of new space across the Czech Republic and is planning some 400,000 sqm of development in 2022.
