Broadway Palace in Prague up for auction again as State seeks buyer

The Office for the Representation of the State in Property Affairs (ÚZSVM) is making its eighth attempt to sell Prague’s iconic Broadway Palace through an electronic auction, which begins today and will run until Thursday. The starting price has been set at CZK 878 million, with bid increments of CZK 50,000. Despite previous efforts, the property has failed to attract active bidders, with potential buyers registering and paying the deposit but ultimately not submitting any offers.

ÚZSVM has been attempting to sell the landmark property through electronic auctions since September 2021. If the current auction is successful, it could set a new record as the most profitable sale in the office’s history, surpassing the CZK 790 million achieved from the sale of a complex in Republic Square, Prague. However, the auction of another state-owned property, the Central Bohemian Castle of Štiřín, which is being auctioned concurrently with a starting price of CZK 1.445 billion, could potentially overshadow the Broadway Palace sale.

Broadway Palace, an architectural masterpiece of the functionalism style, was designed in the 1930s by renowned architects Bohumír Kozák and Antonín Černý. The building, located between Celetná and Na Příkopě streets near Republic Square, consists of three interconnected wings and is considered one of the largest examples of modernist architecture within Prague’s historic core. Originally designed to house Italian insurance companies and residential apartments, the building underwent modifications after 1980 to accommodate administrative functions. Its basement houses the Broadway Theater, which opened in 1938 with state-of-the-art projection and sound technology for its time.

Following its transfer from the former Administration of Railway Transport (now the Administration of Railways) in 2016, the property was initially offered to other state institutions, as required by law. However, none expressed interest in acquiring it. The building’s current tenant also declined to exercise their preemptive right to purchase. Consequently, ÚZSVM continues its efforts to find a new owner through the auction process.

The auction represents a significant opportunity for investors seeking a prime location in the heart of Prague, combining historical charm with functional design. Whether this latest attempt will finally secure a buyer remains to be seen.

Source: CTK