Prague's office and housing markets grapple with scarcity and rising costs

Scott. Weber Workspace plans to operate 23 flexible office locations by 2028 across the Czech Republic, covering about 80,000 m² for roughly 11,000 workstations. The move responds to an extreme shortage of quality office space, with vacancy rates in modern offices falling to 5.8 % – the lowest in the CEE‑6 region – and construction costs near €2,000 per m², prompting firms to adopt an "Office‑as‑a‑Service" model.

At the same time, Prague’s residential market is confronting steep prices and limited affordability. The average price of a new apartment reached €6,121 per m² in 2024, comparable to Helsinki, while residents need about 15 gross annual wages to purchase a 70 m² home. Rental prices are lower than in many European capitals at €16.5 per m², but still rank among the least affordable when measured against local incomes. Although 8,191 new apartments were started in 2024 – a record increase – the pace of construction remains insufficient to match demand, exacerbating the housing shortage.