Ústí bought the house of culture, the renovation will cost 200 million crowns

Source
Radka Fialová
Publisher
ČTK
22.11.2005 14:05
Czech Republic

Ústí nad Labem

ÚSTÍ NAD LABEM - Ústí nad Labem has purchased the House of Culture of Chemists for nearly 13 million crowns. The extensive reconstruction of the dilapidated complex will cost 200 million crowns. The city's intention is to transform the building into a social and cultural center, where congresses will be held.

The mayor of Ústí, Petr Gandalovič, today signed the purchase agreement with the chairman of the Chemists' Union, Ladislav Holub. According to councilor Pavel Dlouhý, the price is the residual accounting value of the property. This year, the city will pay approximately 432,000 crowns and from 2006 to 2030 will pay half a million crowns annually.
The city also acquired a 100% stake in the company House of Culture of Chemists, Ltd. from the unions for 2.7 million crowns. The city hall will rent the park above the building from the chemists until 2030 for 1.5 million crowns a year. "We will need the park for the reconstruction, but we did not agree on whether the city will want the land in 25 years, so we will just rent the park," Dlouhý explained.
For the reconstruction of the largest social complex in Ústí, the city will allocate 40 million crowns each year for five years. Next year, it will also allocate eight million crowns for the project. "We are planning a complete reconstruction, which will include technology replacement, network repairs, static repairs, roof repairs, and plastering," Dlouhý stated. The city will first invest in sanitary facilities, roof repairs, and facade work.
Ústí would like to use funds for investments from a billion-crown loan from the European Investment Bank. According to Dlouhý, the establishment of a congress center could be funded by the EU structural funds.
The House of Culture was built in 1964. Currently, 18 people work there, and another 23 assist in organizing social events. According to Holub, the unions have not invested anything into the facility. "The house of culture had to earn its own operating costs," he said.
According to councilors, Ústí could host congresses on environmental issues, infrastructure, and medicine at the House of Culture of Chemists, which are topics that directly concern the city.
The Czech Tourism Authority considers congress tourism to be the most lucrative part of tourism. It contributes about ten percent to total tourist revenues. The significance of organizing congresses also lies in the fact that participants often return as tourists with their families. In the Czech Republic, congress tourism is concentrated primarily in Prague.
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