The former office premises of the office will be sold by Prague 12 for 45 million to the company CS Production

author: LOXIA a.s.

Prague – Prague 12 will sell two buildings on Hausmannova Street, where the department of construction and the trade department of the office used to be, to the company CS Production. For the land on which the former detached works of the municipality stand, and for the buildings, they offered 45 million crowns. The sale was approved today by the council of the twelfth municipal district. Opposition councilors did not support it with their votes.

Prague 12 is selling the buildings and the land they stand on due to the need to make up the cost of constructing a new town hall, as stated by Jiří Fremr (ODS), the deputy mayor of Prague 12, at the council meeting. He added that the properties were appraised last year at approximately 24.4 million crowns by an expert report. The minimum purchase price was subsequently set at 30.55 million crowns according to the reasoning for the resolution. The city council members approved the sale in December 2020, and the properties were offered for sale from January to March this year. According to the deputy mayor of Prague 12, 20 interested parties expressed their intention to purchase the land and buildings. CS Production offered the third highest price. Companies that wanted to buy the buildings for higher amounts withdrew from the competition.

The sale of city property was criticized by opposition councilor Michael Valášek (Change for Prague 12). According to him, the municipality should rent out its buildings, which would generate profit in the long term. Like the other present councilors from the opposition movements ANO and Change for Prague 12, he did not support the sale of the buildings that previously housed the town hall.

Due to the necessity of obtaining funds for the construction of a new town hall, which Prague 12 is building on Generála Šišky Street, other buildings and land in Modřany were also offered for purchase, including a building with eight municipal apartments on Komořanská Street. The apartment building and land with an area of 1714 square meters, on which the building stands, could be sold to the company K108 projekt, backed by Prominent Development Group. They offered the town hall 40.25 million crowns for it. The city council members approved the sale of the property, and the discussion of the item at today's council meeting was interrupted.

The new town hall is expected to cost Prague 12 617.8 million crowns, making it the largest investment in Prague 12. The goal of selling city property is to raise money to finance the construction of the new town hall and to pay back a loan from the capital city. Prague lent 250 million crowns for the construction, which Prague 12 must repay by 2036, and provided a grant of 120 million crowns.

In Prague 12, a coalition is formed by representatives of the Pirates, ODS, TOP 09, and the Greens. The municipality has 56,617 inhabitants and includes the entire cadastral areas of Cholupice, Kamýk, Komořany, Modřany, and Točná.