The center of Prague is dead. From the point of view of the soft market going through the crisis Dark
The center of Prague is depressed and not so attractive to anyone. But this is a sign for opportunists. There are plenty of them in store, they are waiting for the market and they are able to arrange a discount in uritch cases. The demand for apartments in the center of the stle is. However, there are plenty of low-quality apartments on the market, according to an interview with the owner of the Svoboda & Williams real estate agency, Prokop Svoboda.
LIDOV NOVINY: Your company arranges the sale and rental of luxury real estate. Their home is the center of Prague. This is now known to be affected by the freezing of short-term leases. How to show the impression of luxury real estate?
FREEDOM: It didn’t really show up in the luxury segment. In the time of the real estate boom before the pandemic, something went for luxury. They are all careful. But if the property has the parameters of luxury, the problem is not. The vast majority of properties that were used for short-term rent, do not fall into the luxury segment.
In the time of the real estate boom before the pandemic, something went for luxury. They are all careful. But if the property has the parameters of luxury, the problem is not. The vast majority of properties that were used for short-term rent, do not fall into the luxury segment.
The short-term short-term apartments were rented, which had a defect in the Krishna and were probably rented for a long time. Tourists, if they came in time, made attractive interiors and had a nice photo presentation, the time was on offer. The address was essential for tourists. After the introduction of new restrictive measures, these apartments have largely accumulated in the supply of real estate agencies for long rents. The problem is that these offerers are often behind their tenants.
Typically, these are the operatives who offered these two apartments for short-term rent. To this day, one of them is the point that the market is drilling into the original tracks and the one who can handle it has come out, because the capacity will be smaller. Nkte opertoi therefore flats dr to this day and sublet them. Only in this way does the relationship not have full first relevance for the sublessee.
LIDOV NOVINY: Does the apartment owner know that this is happening?
FREEDOM: Yes. Opertoi, who operated flats for short-term rent, usually agreed in the contract on the possibility of sublease.
LIDOV NOVINY: According to statistics, it is significantly lower in the center of Prague due to the known number of apartments …
The short-term short-term apartments were rented, which had a defect in the Krishna and were probably rented for a long time. Tourists, if they came in time, made attractive interiors and had a nice photo presentation, the time was on offer. The address was essential for tourists. After the introduction of new restrictive measures, these apartments have largely accumulated in the supply of real estate agencies for long rents. The problem is that these offerers are often behind their tenants.
FREEDOM: That’s true. However, it is necessary that the units of two urns for short-term rent are relatively badly rented for a long time. One of the reasons is that it is a changing stimulus. Only in such a case do I not have the skill as a tenant that when I want to stay in the apartment for a year or two, that I will be able to stay there. We did not leaf through such offers and exceptions. In addition, the apartments offered are often unattractive for long-term rent. It all affects the statistics. However, the discounts on the fine were sharp.
Operate often on the apartments replenish the owners. It’s better to get at least something and minimize the loss. The center of Prague is still numb, from the point of view of the fine market going through crises. On the other hand, it is very interesting that a lot of transactions are closed. Use the situation young people. I see this as an opportunity for the city center to regain its original and very attractive TV. Go back there, residents. Lots of business urenches for mass tourism will fall, but young people will have to open new cafes and shops.
LIDOV NOVINY: What about the sale of real estate? Even there it manifested itself in frozen short-term rent?
FREEDOM: For rent, the situation was immediately reflected, for sales, a certain persistence. Especially no one is completely bloodless. It is true that portfolios for short-term rent are gradually getting into real estate offers. But the interest in investing a purchase is great, so the market can absorb it.
To this day, the operator is convinced that the market is drilling into the original tracks and the one who can stand it has come out, because the capacity will be smaller. Nkte opertoi therefore flats dr to this day and sublet them. Only in this way does the relationship not have full first relevance for the sublessee.
The decline in prices does not elapse. Mon e nkdo captures a certain moment. The center is depressed and not so attractive to anyone. But this is a sign for opportunists. There are plenty of them in store, they are waiting for the market and they are able to arrange a discount in uritch cases. The demand for apartments in the center of the stle is. On the market, however, quite a large low-quality apartment.
LIDOV NOVINY: are they of poor quality? They are always at a great address …
FREEDOM: In addition to the location are to go put the features of quality apartments, you layout. Apartments originally for short-term rent often had poor dispositions. Sometimes it was divided into large apartments, which, however, are not suitable for long-term rent. They have a small kitchen, bathroom or living room. When a tourist comes there with one suitcase, he needs to sleep somewhere. Apartments for tourists were very efficient, but they are unusable for living.
There were 3 + kk flats on the market with an area of 55 square meters. To live in it ned. The construction of such an apartment is nron and expensive, because the prices of construction work have risen enormously. Apartments for short-term rent were often dimly lit. Nice photos were taken and it didn’t matter, because the tourist was not there to go in advance. You get these apartments on the market, which distorts the views, and someone without knowledge of the situation makes it easier for me to say, even in the center, real estate prices have fallen.
LIDOV NOVINY: A lot of developers are looking for a place to live. So far, however, living in it has been a sign of failure in the Czech Republic, that he has not yet earned his own apartment. Does this change change? Will he be rented for a period of time?
Units for two urns for short-term rent are relatively likely to be rented for a long time. One of the reasons is that it is a changing stimulus. Only in such a case do I not have the skill as a tenant that when I want to stay in the apartment for a year or two, that I will be able to be there.
FREEDOM: It’s enough for me. We are observing this, the pandemic has only accelerated the trend. Our office grew up on residential leases. For years, we had websites only in English, because the apartments were rented only by expats. When it appeared in our country ten years ago, it was like a revelation. Today, most people do not have them, they are used to this way of living. Finely living is not a shame. With some flexibility. The hunter thus lives in various cases, such as gauges or the condition of the house.
Many people from the younger generation prefer to live and do not want to live at all. It is a matter of n lifestyles. And for some, it’s an economic necessity. And first of all, the investor group reacts to this, looking at soft apartments as an attractive investment asset. These are strong hedging groups that have cheap funding. These investors will gradually push out the individual owner of the apartment, who rent them.
LIDOV NOVINY: We are going back to the luxury segment. How do the parameters have to meet the property in order to be called a luxury?
FREEDOM: There are almost no new buildings in Prague 1, so luxury there is a very well-reconstructed historic apartment with a good layout and attractive views. Not every street in the center is Krsn. If the whole house is undergoing reconstruction and there are underground construction gare, it’s full top. The plus is when the neighbor has a similar view of how it should work in the house. Such residences are in the center of Prague pr.
Apartments originally for short-term rent often had poor dispositions. Sometimes it was divided into large apartments, which, however, are not suitable for long-term rent. They have a small kitchen, bathroom or living room. When a tourist comes there with one suitcase, he needs to sleep somewhere. Apartments for tourists were very efficient, but they are unusable for living.
Luxury properties can be found in traditional residential areas, such as Oechovka, Hanspaulka, Podol. In 2008, the financial crisis affected the luxury segment a lot, in the fall. It was interesting that even this time they kept the price of a villa in Prague 6. They are really small and very rich people want them. And we are also seeing an increased demand for these properties.
LIDOV NOVINY: You are the exclusive partner for the Czech Republic of Christies International Real Estate. Did you have to adjust the requirements for luxury real estate for that?
FREEDOM: Not at all. For Christies, luxury is defined only by price. It is stipulated that this should be real estate with a price above one million dollars. Any offer that Christies may be presented to around the world, but go under approval in London. They can stop such an offer there, even if the property costs more than a million dollars.
LIDOV NOVINY: Does it happen often?
FREEDOM: Nm jet was never denied anything. It’s time that someone is looking to get into the presentation somehow pedraen unt …
Prokop Svoboda
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