Solid-state polycondensation process of recycled polyethylene-terephthalate and its effect on crystalline structure and mechanical properties were investigated. A three-phase morphological model was applied for the evaluation of crystalline structure, while mechanical properties were determined by dynamic mechanical analysis. The effect of solid-state polycondensation process on morphology was investigated and described in detail. A new method was used to analyze the effect of solid-state polycondensation process on mechanical properties. Relationship was found between evolved crystalline structure and storage modulus of samples.