Accolade is the largest investor in the Karlovy Vary region, where they have been operating for ten years

Accolade Group, which invests in premium and sustainable industrial property, is underscoring its standing as the largest investor in the Karlovy Vary region. In the ten years since they first entered the region, they have invested in a total of nearly 300,000 m² of manufacturing, e-commerce, and logistics spaces. The value of the completed and handed-over projects is in excess of 7.5 billion CZK, with properties valuing a total of 9 billion CZK still under construction. The group’s activities lead to wage growth and a wider range of attractive job opportunities. Besides the projects in Cheb, the group also recently completed the first building at the new industrial site in Ostrov.

Accolade is the largest investor in the Karlovy Vary region, where they have been operating for ten years

“Cheb was one of the first locations where we started investing in the construction of modern industrial facilities and today some of our most successful projects are there. When I look back at the 10 years that have passed, I can see that it was in the Karlovy Vary region where we launched our strategy of creating completely new and successful industrial zones in often neglected areas, attracting interesting companies and investors and providing the requisite infrastructure for their businesses,” said Milan Kratina, Accolade CEO.

Currently, Accolade’s portfolio contains a total of 8 completed buildings in the region, with 12 tenants. The group’s main focus has largely been around the town of Cheb, where a total of three industrial parks are located. However, Accolade are also now expanding their operations into Ostrov, where they are planning two new sites, the future value of which will be close to 6 billion CZK.

A modern facility on the site of a former trolleybus manufacturer

The Ostrov park, which was born out of the revitalisation of one of the largest brownfield sites in the Czech Republic, the former Škoda Ostrov plant, will be composed of two buildings with a total area of 120,000 m², once completed. The first building was recently finished and completely handed over to its tenants.

The larger section of the space has been rented by German company Amphenol, one of the TOP 10 global manufacturers of electric connectors, scanners, smart cards and wire harnesses, used for, among other things, charging electric cars. Amphenol have now moved their production to the new site. The remaining area has been leased by Czech e-commerce company Kokiska, a home, garden and leisure products retailer, who have grown from a small warehouse in a family home into a significantly-sized e-shop with a turnover of 200 million CZK. The park’s second building is now in the preparatory phase.

“We enjoy investing in the regeneration of brownfield sites because we have the chance to create new infrastructure from old. In other words, that which, for whatever reason, has not succeeded, we replace with dynamic companies which are able to assert themselves, even in these extremely uncertain and unprecedented times”, explained Kratina, adding that the total value of the park after completion is estimated to be over 4.5 billion CZK.

Accolade is currently preparing the first building at the second planned site in Ostrov, which will be designated for manufacturing. “The buildings that we are planning in Ostrov should enable existing employers in the Karlovy Vary region to grow, keep their current production in the area, and also to create more job opportunities,” expanded Kratina.

Cheb – the largest and greenest

With Accolade’s financing, around 300,000 m² of new industrial space is currently being developed in the Cheb district. Within two years, the largest distribution centre in the Czech Republic is set to be created here for a global fashion brand, with a record 233,000 m² of leasable area, bringing more than 1,000 new jobs to the region.

This unique facility will be situated in the Cheb park, which represents Accolade’s largest long-term investment in the region. It is valued at nearly 4.4 billion CZK and has received awards for being not only the best, but also one of the greenest sites in Central Europe. The park’s tenants include Tchibo, DHL, BWI, TFS and Nexans. 

There were further awards for the Strojírny park (Cheb South), which was developed on the site of a former tool manufacturing plant, with one of its buildings, specifically the one leased by Kauflaud, being recognised at the time of its completion three years ago, as the most environmentally friendly building of its type in the world. This advantageous industrial location then also attracted the successful brand ShipMonk with its Czech roots. They recently opened their first distribution centre, which will help American online shops kick start their journey towards new customers in Europe. Other currently completed projects include the facility for online car parts retailer AUTODOC.

“Also under construction is the Okrouhlá (Cheb East park) site, near the village of Okroulá, which will boast around 80,000 m² in the future. Its parameters will also expand the infrastructure of the Karlovy Vary region and strengthen its position as the most strategic place for Western markets,” said Kratina.

Further investment and plans for the region

In the Karlovy Vary region there are currently 3 buildings under construction with a combined area of close to 330,000 m², the total value of which should reach nearly 9 billion CZK. Besides those projects which are currently under construction, Accolade group plans to further expand its portfolio by around 180,000 m² of industrial and manufacturing space, with a value of approximately 5.4 billion CZK.

“Those who know what the Karlovy Vary region was like 10 years ago, know how it is constantly changing for the better. We have been able to contribute towards the creation of a not-insignificant 2,000 new jobs. This job creation was also possible thanks to the transformation of unsightly and deteriorating brownfield sites into modern industrial zones. Wages have increased, which has positively impacted the general standard of living and quality of life of local residents, who also have greater choice in the positions and conditions they wish to work in,” commented Kratina.

Accolade supports important cultural, sporting, and social events in the Karlovy Vary region. For example, they have long-standing partnerships with the Cheb theatre, the Saint George hospice, and the Joker organisation, who provide social services and help support blood donation. Moreover, the group is once again partnering with the Karlovy Vary International Film Festival for the 6th year. 

In addition, Accolade also plays a big role in developing local infrastructure. For example, they own a German entity that includes shares in regional companies focused on water supply, waste water disposal and also heat and electricity production (CHEVAK Cheb a.s., TEREA Cheb s.r.o. and KMS Kraslická městská společnost s.r.o.).

Accolade co-financed a rerouting of the water supply, a roundabout at Strojírny Cheb, and other roads in the area. They also developed a new cycle path in Ostrov. For land alone, the group has already paid around 203 million CZK (excl. VAT) to the Cheb local authority and almost 30 million CZK in property taxes.