Central Group will start building again after a pause, preparing 2000 apartments for 17 billion CZK

Prague – The largest Czech residential developer Central Group will begin construction of more than 2000 apartments in the coming months, with a market value of approximately 17 billion crowns. After last year's decision to postpone all construction, it will start building again. Central Group announced this in a press release today.

Last year, the company postponed further construction due to high prices for construction work and materials from suppliers. The founder and CEO of Central Group, Dušan Kunovský, decided to start building again after meeting with representatives of the ten largest construction companies. "The prices of construction supplies are no longer as hysterically high as before and are getting to a more sustainable normal," Kunovský said. However, he noted that there is still significant uncertainty due to the tense international situation in the market.

In new projects, the company plans to divide construction into multiple phases, implement faster handovers and payments for work, or allow greater flexibility in starting and completing individual phases. Together with construction companies, it also aims to better optimize the technical solutions of the buildings.

Central Group will finance the construction of 2000 apartments from its own resources without the need for loans. The most apartments will be launched in Žižkov in Prague 3 in the Park Quarter. There, it will initiate the construction of three more city blocks with approximately 900 apartments. Additional projects will be developed in new locations in Hloubětín and Vysočany, in Uhříněves, at Černý Most, and in Hlubočepy. The company will also start a smaller project in Břevnov.

Central Group has built a total of more than 20,000 apartments. In 2025 and 2026, it has more than 3200 apartments under construction and has purchased land in approximately 60 locations around Prague for more than 40,000 new apartments.

Central Group was founded by Kunovský in 1994. Since 2008, the company has operated as an investor and became a joint-stock company in 2012. It focuses almost exclusively on construction in Prague and its surrounding areas. Last year, according to the annual report, the group increased its net profit by 169 percent to 1.7 billion crowns. It more than doubled its turnover to 2.25 billion. However, according to company representatives, the conglomerate also includes several companies under which specific residential projects fall. Thus, the revenues and profit of the development company as a whole actually differ.

According to an analysis by Central Group, Skanska Residential, and Trigema, developers sold a record 7800 new apartments in Prague last year. This was an 8.3 percent year-on-year increase and 350 more apartments than in the previously strongest year of 2021. According to the data, the most apartments were sold in Prague 9, where the prices of new apartments are among the lowest in the capital. According to current data for the second quarter of this year, the price per square meter in a new Prague apartment was offered at 187,781 Kč.