At the end of 2024, your NEMO fund, together with its founder ČMN, completed one of the largest acquisitions of the year, directly purchasing four office buildings. Are you planning further acquisitions?
Originally, we expected that the fund would not expand its portfolio for some time. However, the successful close of last year—combined with this year’s developments, particularly the downturn in U.S. equities—created opportunities that the NEMO fund was able to seize effectively. The number of NEMO investors increased by 10.2% year-on-year, reflecting growing interest and confidence in the fund’s strategy, which focuses on stable returns from high-quality office buildings in Prague. Thanks to the strengthened investor base in the first quarter of this year, we were able to accumulate sufficient capital which—aligned with our investment strategy—was allocated to the acquisition of the Panorama Business Center, a premium office property located directly opposite the National Museum.
Net office take-up last year was the second-highest in history. How will this market revival, combined with a lack of new developments, affect rental levels and overall returns from office properties in Prague?
The year 2024 confirmed the growing demand for quality office space, as evidenced by the second-highest net take-up in the history of the Prague market. This trend is supported by a limited supply of new developments, which enhances the appeal of existing spaces—particularly in prime locations such as the city center, Karlín, and Smíchov. We expect rental prices to continue rising in the near future, in line with market trends. The NEMO fund regularly adjusts rents based on inflation-linked clauses, ensuring stable income streams while reflecting prevailing economic conditions. This approach allows us to maintain a balance between long-term property returns and tenant needs. Our strategy also includes modernizing older buildings to meet current standards and tenant expectations. As a result, we can offer not only a high-quality working environment but also maintain competitiveness in a rapidly evolving market. This enables us to deliver stable returns to our investors, even in challenging economic conditions.
To what extent do you consider ESG criteria when selecting properties for acquisition?
When selecting properties, we place strong emphasis on sustainability, energy efficiency, and positive community impact. A good example is the Apeiron office building located in the heart of Karlín. In 2025, it earned a BREEAM In-Use certification at the VERY GOOD level, confirming its environmental, social, and economic performance. Our collaboration with Savills Czech Republic was key to achieving this milestone. However, Apeiron is not the end of our ESG journey—we plan further upgrades to properties in our portfolio to reach even higher certification levels. We also promote the concept of green lease agreements, which commit both landlord and tenant to reducing the environmental footprint of operations. Our ESG commitments go hand in hand with transparency and ethical business practices. These efforts not only enhance the value of our properties but also contribute to a greener future.
