Imagine if you had bought property in Prague 8 years ago....
Brno property has been getting a lot of exposure lately. And for good reason. Consuming deals in Prague are getting harder to find. Attention is beginning to turn elsewhere.
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Brno is the second largest city in the Czech Republic. Being the company capital of Moravia it boasts some big name clubs such as Ibm, Siemens, Minolta Cr, Honeywell Controls and Fei.
At the end of March 2005, RyanAir began daily direct flights from London to Brno. Flights from Dublin to Brno are rumored to be next on the list of priorities.
In 2008 a major motorway is planned to be completed that will link central-northern Moravia with Poland manufacture the area more Consuming for Polish investors and traffic.
Currently, property prices are a third of what is ready in Prague and there is a strong and growing rental request for ability properties.
What are covering sources saying about Brno?
The city of Brno has won the competition for European City of the hereafter 2004/2005 which is organized by the prestigious Fdi magazine, a Financial Times publication, in the type of Visegrad group cities. It even beat out Prague and Budapest.
"Brno's fast economic growth and high Gdp-per-capita helped to push it ahead of other cities in the region. The judges also gave top marks for its economic possible and new Fdi deals Consuming Uk-headquartered engineering firm Imi International, Us technology group Honeywell and Us industrialized engineering company Danaher Motion, which in the middle of them created 900 jobs. Brno also scored well for its international promotion strategy and incentives."
Swiss company Aguna chose to build their new plant in Brno. The company intends to invest roughly 250 million crowns during the first two years. They will be able to employ at least 80 population in production and amelioration of precision instruments. A large part of the employees will be college-educated specialists.
"The ability level of the work force was the deciding factor for Aguna."
"Their representatives are convinced that they will find engineers in Brno who are just as capable and great as in Switzerland," said Tomás Bohrn, project manager at CzechInvest, and added: "This precision engineering project demonstrates the huge possible of Brno as well as the South Moravian region to attract technically industrialized engineering R&D investments."
Daikin Industries Ltd. Is a world leader in the production of modern air-conditioning equipment. After the double-billion speculation in Plzen, the Daikin company has decided to build a new installation for the production of compressors into air-conditioners in Brno. In the first stage, the company intends to invest 1.2 billion crowns and to generate more than 500 skilled jobs.
"Our decision to invest at first in Plzen and now also in Brno is strategic and very prominent for the future. The Czech Republic should become the prominent base for our production for the fast-growing markets of the European Union," says Jiro Tomita, normal manager of Daikin Europe, and continues: "The installation in Brno will deliver compressors to our subsidiaries in Plzen and in Oostende, Belgium. It is the compressors that are the most prominent part and 'heart', which secures the functioning of air-conditioning units."
Symbol Technologies launched carrying out of their new centre in Brno for shared buyer hold and financial services for Europe, the Middle East and Africa (Emea). Emblem Technologies has already invested more than seventy million Czech crowns into technological tool and within three years plans to set aside an additional one roughly half a million crowns for wages, training and operation. The centre will initially employ 200 population and this whole is startling to growth by an additional one 550 employees.
"We chose Brno for any reasons, namely the good offer of great labour, a good site and the good position of Brno in nearnessy to Symbol's existing centres and customers in Europe," said Steve Priestley, Vice President and normal manager of Emblem for Emea. "By concentrating repair, buyer call hold and supervision of finances, contracts and orders into one European centre we will be able to improve the wide suitable of our services and keep it at a high level for the long-term."
Austrian-German producer of health care and hygienic products Lohmann & Rauscher announced publicly the end of December, 2004 that they will build their new plant in South Moravia. The company is investing more than 41.5 million euros into expansion and modernization of its production installation here and will generate over 160 new job opportunities.
"While the company in Germany concentrates on a excellent part of health care products like plaster casts and bandages, we are moderately transferring production of healing dressings, operating masks and other surgical products to the Czech plants. production at the enlarged plant in Slavkov near Brno should be launched within two years and the main customers will be the European subsidiaries of Lohmann & Rauscher," said Rudolf Vonys, procurator of Lohmann & Rauscher s.r.o, and added: "Our final customers are health care facilities all over Europe, for example German, French and Austrian hospitals and Dutch, Swedish and Italian pharmacies."
Japanese company Ohmori Technos Corporation has decided to build a new installation in the area of Brno. At the outset, the company will invest about 15 million euros. Estimations recommend that at least 150 new positions will be in case,granted in the Brno area. production in the new plant is scheduled to start by the end of 2006.
"Today, the Czech Republic is known as the center of industry in Europe. In fact, a broad range of Japanese clubs have successfully established their plants in the country. Assessing these situations, we have decided to carry out this investment," commented Fumio Ohmori, president of Ohmori Technos Corporation.
The world's largest airline, Lufthansa from Germany, has officially committed, as of the end of February 2005, to chance a new shared services centre in the Moravian side of Czech Republic. The new centre, which will be placed in Brno, will help customers of Central and Eastern Europe. It is startling to employ up to 100 people. This tenth call centre for Lufthansa, named Global Telesales Brno s.r.o., will start operations on June 1st 2005.
"Central and Eastern Europe is a strategic shop for us where we plan in the arrival years to double the volume of our activities," commented Stephan Semsch, Lufthansa's Director for Central and Eastern Europe, and added: "We fully assessed 30 possible localities in total and finally chose Brno for its strategically favourable position within the region and its nearnessy to the prominent airline hubs of Munich and Frankfurt. Other great advantages of the Czech Republic are its membership in the Eu, ability telecommunications and technical infrastructure and the motivated, great and cost-effective work force."
Daido Metal, producer of bearings for the automobile industry, signed an business transaction on hereafter business transaction on the buy of land with the city of Brno today to build a new production plant. The speculation of Daido Metal will whole to nearly 13 million euro and the plant will employ up to 100 persons in the first stage. The production should be launched at the beginning of next year.
"The Czech Republic has a very strong position in Europe in the automobile sector and even many of our clients have their production plants here. The production of our Czech plant will cover the request generated both in the Central European countries and on the entire continent," says Issei Yoshida, Managing Director of Daido Metal Europe.
"Our Czech branch, Daido Metal Czech, will be the first company within the entire group to operate fully independently, without a strategic partner from the same field. The only partners in the Czech Republic will be the locals, in singular in the area of technical engineering and development, We also intend to cooperate with the city of Brno," says Tetsuro Nishiyama, Managing Director of Daido Metal Czech s.r.o.
Acer, the major constructor in the notebook sector will opened a new assistance center, with a linked call-center for customers in Europe, Middle East and Africa (Emea). The Acer shared services centre opened on July 1st in Brno, within the commercial complicated Cernovická Terrace and is startling to furnish at least 60 new jobs.
"We have been experiencing great shop growth in the last two years in the countries of Europe, Middle East and Africa. The new centre will replace the current solution, where buyer assistance is being in case,granted via external assistance providers," stated Stefan Engel, Region manager North + Central Europe and added: "Our goal is to furnish even best hold to all countries complicated in their native language and double the staff within one year."
GigaByte Technology, a producer of computer components, is construction a high-tech repair centre in Brno - Cernovicka Terasa where customers from all over Europe will send their laptops, graphics cards and motherboards. 25 million Czk is being invested with a projected 50 employees being required.
GigaByte Technology chose the Czech Republic over the other Central European countries, along with Hungary, which was the Czech Republic's main competitor. Brno won generally owing to its ability infrastructure and sufficient, great work force.
The assistance centre will be built in Brno despite the fact that the company will not be receiving government speculation incentives. Its executives thereby confirmed that Czech Republic has a lot to offer foreign investors.
Progeon Ltd, a leader in third party outsourcing in India, has completed its first phase of its project in Brno. The company currently employees 80 population in its downtown Brno office and provides process supervision services in sixteen European languages. hereafter growth plans will at last offer vocation opportunities for hundreds of population from Brno and the surrounding area.
"The Czech Republic is an Consuming destination for clubs like ours that hope to reach a wide European market," said Akshaya Bhargava, managing director and Ceo, Progeon Ltd. "Brno has perfect infrastructure and facilities, a supportive government, and population with complicated language skills.
The best ability and most useful commercial zones in the Czech Republic were handed awards by the Czech ministers. The fifth each year "Industrial Zone of the Year" awards were presented according to the recommendations of the Ministry of industry & Trade and CzechInvest in cooperation with the association for Foreign speculation (Afi) and partners in the "Partnership to hold Foreign Direct speculation in the Czech Republic".
The award for commercial Zone with the Most Economic Benefits was given to the "Cernovicka terasa" commercial Zone in Brno, while the Zone with the Most group advantage in 2004 was the Ostrava Hrabova commercial Zone - 1st Stage. The commercial Zone with the Best Town Planning explication is being ready by a secret developer in Ostrava -- Ctpark Ostrava, and the "Brownfield of the Year" was won by the Skoda Plzen commercial Zone.
Brno is a city that is going places. All indications strongly point that way.
But let's see some numbers. What are flats currently going for in Brno and what could we expect for rental income?
Studio apartment (1 + 1). Seven petite walk to main town square. One petite walk to trams and biggest park in the downtown Brno area. Newly renovated apartment in a inheritance building. Listed price 750 000 Czk. Est. Rent: 8000 to 9000 Czk
Two bedroom (3 + 1) flat on Merhautova St. fully reconstructed. One petite walk to the trams. Balcony. 90 m2. Big storehouse space in the basement. Request price 1 590 000 Czk. Est. Rent: 12000 to 13000 Czk
Three bedroom (4 + 1) flat in inheritance building. Eight petite walk to downtown square. One petite walk to the trams. Window view of the biggest park in the downtown area. Newly renovated. Balcony off the master bedroom. Colse to 140 m2. Est. Price 2 500 000 Czk. Est. Rent: 14000 to 15000 Czk
At Czech Point 101 we are not going to hype you with inflated figures. All prices are based on our prognosis of living and working right here in the Brno market.
One of the most prominent things about buying speculation properties is the neighborhood you buy into. We can recommend on the current 'hot' areas and those that will be getting Attention in the near future. Experience me at any time, for free, to get more data about the Brno real estate shop or start progressing on speculation properties now.
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