According to HN dialy, there was increase in housing prices by 5 to 10% in most of Czech cities last year. The highest increase was in Ostrava, with up to 15% hike. Similar increase was recorded also in prime Prague locations. Moreover demand for bigger apartments increased for the first time in ten years. There is consensus among real estate agencies that housing prices of best apartments should rise further next year and should stabilize then. We see the news as slightly positive in light that Orco aims also other regional cities, especially Ostrava. We reiterate our Buy recommendation.