Praha is addressing what to do next with the plan to convert the Opatov hotel into apartments

Prague – The leadership of Prague still hasn't decided whether to convert the former Hotel Opatov in the South City district into hundreds of apartments according to the originally announced competition. Adam Zábranský (Pirates) stated this at today's meeting of the councilors. The reconstruction of the high-rise building was approved by the city council in 2018, but a construction company has still not been selected. According to the councilor, even the best bid in the competition significantly exceeded the initial price estimate of 550 million crowns. He mentioned that clarity about the next steps could come in January. Zábranský's stance was criticized by councilors from ANO.

The councilors discussed the hotel reconstruction while reviewing the budget for the next year. Opposition councilor Lubomír Brož (ANO) raised the question of why the project was not included in the budget proposal. He pointed out that the neighboring former boarding house Sandra is already being reconstructed for the same purpose by Prague 11, and there were originally plans for coordination and connection between the two buildings. According to him, the project already has a building permit.

"I acknowledge that the discussion about what to do with that contract has been going on for relatively a long time," Zábranský said in response. He added that he did not include the investment in the budget proposal because he is currently leaning towards the possibility of canceling the contract and issuing it again. The reason, according to him, is that the new leadership of the city council changed the internal layout of the planned apartments to have more larger units suitable for families.

According to the councilor, the price is also problematic, as the lowest bid from the competition amounted to 800 million crowns. "The amount is so enormous that if we were to finance it, we would have to take money from the fund for the development of affordable housing, which would deplete a significant part of it," he stated. The city established this fund for financing investments in apartments, and it receives income from the privatization of the housing stock. Zábranský added that this is a complicated problem for him, and clarity regarding the next steps should be reached by the January council meeting.

In response, Brož stated that since the councilor did not put the reconstruction in the budget, it is clear that he is not considering it further. He believes that the price can only increase in the future. His party colleague and deputy mayor of Prague 11, Ondřej Prokop, added that he does not understand why the city council is not continuing with the already prepared housing project at a time when there is a serious problem with housing shortages in the metropolis.

According to the original plan approved by the councilors in June 2018, the House for a Fresh Start, as the reconstruction project is called, was supposed to provide accommodation for people with regular but low incomes. Prague would also like to offer apartments there to young families with small children, people with limited mobility, or seniors.

The adjacent former boarding house Sandra is also intended for similar purposes, which Prague 11 is reconstructing for an estimated price of half a billion crowns. The city district took a loan of 200 million crowns from the capital city for the renovation, with an additional 303 million crowns subsidized by Prague. The project has been criticized for a long time by the opposition Movement for Prague 11, whose representatives claim it is overpriced.