“The Czech Republic is a rising star in the region due to its competitive infrastructure costs, stable business environment and particularly strong education system”

Source: A T Kearney’s 2004 Offshore Location Attractiveness Index

Market Type:

• Strong town centre based economies
  
• Educated Workforce
  
• Capital City
  
• Western European investment already established

Rental Market:

• Strong rental demand for lower/mid range priced new build property
  
• Shortage of adequate housing to fall in line with EU directive
  
• Local population rent rather than buy

Rental Yields:

• 4-8% Gross

Finance:

• 85% LTV mortgages (100% available in certain instances)
  
• Sub 4% interest rates
  
• Interest Only mortgages expected soon
  
• Rapidly evolving market place and finance more readily available

Politics & Economy:

• Stable Economy and local currency. Medium Tax rates compared to other major European cities
  
• Export driven Economy
  
• Highly qualified workforce

2007 GDP Forecast:

• 5% (Source CzechInvest)

2007 Residential:

• 12-20% in Prague Property Price Forecast