According to Savills research, institutional rental housing is becoming increasingly popular in Prague. The institutional sector attracts both investors and tenants. One of them is the REICO NEMOVITOSTNÍ fund, which entered this segment last year and acquired two projects in Prague: Nový Opatov G1 and Stodůlky – Britská čtvrť A, B1, B2. Savills provides technical due diligence and construction monitoring on both projects.
Jan Jurčíček, Head of Building & Project Consultancy at Savills, adds: “We highly value the trust that REICO continues to place in us. For both projects, we provide comprehensive technical expertise and construction monitoring to ensure execution quality and full compliance with the design, permits, contractual documentation, and modern ESG standards.”
In total, these developments comprise 390 apartments. The residential building near the Opatov metro station in Prague 4 will offer 171 units, with final approval scheduled for spring 2027 and handover in summer 2027. The Stodůlky Residential complex, part of the Britská čtvrť project, comprises three buildings (A, B1, and B2) and will offer 219 apartments. Final approval is expected in summer 2027 with handover in spring 2028.
REICO has also recently launched a fund named REICO investiční společnost EAM, comprising two interconnected residential buildings in the Kaskády Barrandov development. “I believe that institutional rental housing, which is only just emerging in the Czech Republic, will at least partially help to address the housing situation. All our projects will deliver higher returns, as residential housing combines rental income with capital value growth,” says Dušan Sýkora, Chairman of the Board at REICO IS EAM.
Savills research shows that after the record year of 2023, when 894 units were completed in Prague, there was a decline in 2024, with 782 units added, a 13 percent decrease. In the first half of 2025, another 448 units were delivered, but construction activity is expected to slow down in the second half of the year. Nevertheless, the sector is growing much faster than before 2021. In 2026, over 1,100 units are due to be completed. Currently, 1,902 units are under construction, and another 3,400 apartments are expected to start construction within the next two years.
“The recent acquisitions by REICO IS EAM confirm that investment conditions for rental housing development are gradually improving. We are seeing a clear structural shift – growing demand for quality rental housing, high occupancy of projects, and investor interest in stable long-term returns. On the other hand, new development projects are still constrained by a regulatory environment that does not yet allow for faster permitting processes,” concludes Jan Jurčíček of Savills.
