DPP faces a lawsuit regarding the joint venture at the Nádraží Holešovice metro station

Publisher
ČTK
15.05.2024 21:05
Czech Republic

Prague

Prague - The company Nové Holešovice has filed a lawsuit against the Prague Public Transport Company (DPP) because it did not sell the land around the C subway station Nádraží Holešovice according to the agreement. Jakub Velen, spokesperson for CPI Property Group, which, along with Karlín Group and DPP, is represented in the Nové Holešovice company, informed ČTK of this. The joint venture was established to develop the area around the station, but the current leadership of the magistrate has still not approved the agreed sale of municipal land, and Deputy Mayor Zdeněk Hřib (Pirates) is advocating for DPP to completely withdraw from the enterprise.


In the past, DPP received a pre-litigation notice that quantified the potential damage to private partners in the joint venture at 1.31 billion crowns. Since the situation has not progressed even after the notices, the company Nové Holešovice has now filed a lawsuit, stating that the inability to obtain the consent of the city leadership for the transfer of the land does not change DPP's contractual obligation to sell the land.

"The joint venture is primarily seeking the conclusion of the relevant contracts through this lawsuit, although it reserves the right to seek compensation for incurred damage if the city or DPP itself definitively obstructs the conclusion of the contracts in any way," states the company's announcement.

DPP's communication department head Daniel Šabík responded by stating that the company must familiarize itself with the content of the lawsuit and will take further steps according to the recommendations of lawyers and attorneys. However, he added that DPP has long insisted on continuing the joint venture, which, according to all evaluations and an audit prepared for the magistrate, is the most advantageous option for the revitalization of the subway station and its surroundings. "Further steps in the joint venture depend only on the decision of the Prague City Council in the competence of the general meeting of DPP," he stated.

DPP established the joint venture after lengthy negotiations in 2021 with Karlín Group; later, CPI Property Group, which also owns land in the area, joined it. DPP's supervisory board unanimously approved the sale of municipal land to the joint venture for at least 173 million crowns this January, with its chairman Hřib also voting in favor.

However, he later changed his mind, and the Pirates presented a document at the end of April proposing DPP's withdrawal from the joint company. Hřib cited suspicions of connections between some participants and the Dozimetr case, which involved influencing contracts at DPP, as the reason for the withdrawal.

However, the Pirates were unable to persuade their coalition partners from Together (ODS, TOP 09, KDU-ČSL) and STAN, so the so-called exit was not approved. At the same time, they also did not approve the sale of municipal land to the joint venture, which requires the consent of the city council, which also constitutes the general meeting of DPP.
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