| The Prague property market has and continues | | | | prices as some are purchased for the short-term |
| to see overwhelming demand from both foreign | | | | rental market. Each quarter in 2005 averaged 950 |
| and local investors. And who wouldn't like to own | | | | 000 tourists. It is rare to find in Prague private |
| a property in this fairytale city that pulls at your | | | | accommodation for under 1 400 CZK/night. It |
| heart strings and attracts major foreign investors | | | | only goes up from there. A well-located |
| on the basis of economics.With the Czech | | | | apartment with a professional marketing and |
| economy running red-hot, in fact, at a stunning | | | | management company can make an excellent |
| 6% last year (2005 GDP), there is good reason | | | | return.What other major investment news is |
| to consider this beautiful capital as a strong | | | | there that affects your decision as an investor? |
| investment choice. Czech Republic's results far | | | | Here is a selection from 2005 and newer.Other |
| outstripped the average EU GDP growth of 1.6% | | | | Investment News (from CzechInvest and other |
| and those of Hungary (4.1%) and Poland (3.2%). | | | | news sources)March 2005: Czech airlines (CSA) is |
| Slovakia alone equaled Czech Republic in terms of | | | | establishing a new repair center in Prague. It will |
| growth.Economic Indicator - GDP 2000/3.9%2001 | | | | eventually employ up 400 specialized aviation |
| 2.6%2002/1.5%2003/3.7%2004/4.0%2005/6.0% | | | | mechanics and other technicians. 1.35 billion CZK |
| Not only was 2005 extraordinary in terms of | | | | will be invested into setting up the facility."The |
| Czech GDP growth but also with the sheer | | | | project for this new repair center is based upon |
| number of new investment projects and with this, | | | | CSA's long-term strategic plans for developing its |
| the total foreign investment (FDI). Total FDI in | | | | technological base camp for airplane and aircraft |
| 2005 was more than 263 billion CZK (11 billion | | | | component maintenance and repair in close |
| USD) which is the highest figure in history in | | | | proximity to the international Prague - Ruzyne |
| terms of dollars and second highest in terms of | | | | airport," says CSA president Jaroslav TvrdikApril |
| CZK.Economic Indicator - FDI (USD billion) 2000 | | | | 2005: Scottish company Incline opened its |
| 5.02001/5.52002/8.42003/2.62004/4.02005/11.0 | | | | high-tech centre in Prague-Letnany which services |
| However, what does all of this mean with regard | | | | flat LCD notebooks, LCD televisions and plasma |
| to the residential property market?Higher GDP | | | | screens. 165 new jobs will be created at its new |
| usually translates into higher disposable income for | | | | center."The growing demand of our customers in |
| the population. Much of this increase is focused on | | | | the European region induced us to increase our |
| Prague where the average gross monthly wages | | | | capacity and build a repair centre right in Central |
| was 23 000 CZK as compared to the national | | | | Europe," said David McKinney, Executive Director |
| average of 18 900 (Q3 2005).Also, unemployment | | | | of Incline Global Technology Services, and added: |
| is much lower in Prague compared with the rest | | | | "The Czech Republic was chosen because of its |
| of Czech Republic. The national average is 9% | | | | excellent infrastructure and its experienced labour |
| and Prague's is 3.25% (Q3 2005).Even the sheer | | | | pool. I trust that we will succeed in building a |
| number of tourists in Prague affects property | | | | world-class centre here. |