Deadline for submitting bids on post office buildings in Jindřiška and Moravská is 9 January

Those interested in buying the Czech Post buildings at the corner of Prague's Jindřišská and Politických vězňů streets and Moravská Street must submit binding offers by 9 January next year. The minimum price in the envelope method tender is CZK 1.538 billion for the main post office building in Politických vězňů and CZK 62.4 million (VAT excluded) for the property in Moravská Street.

Those interested in participating in the tender must register by 20 December, otherwise they will not be able to submit bids. The selection committee will rank the bidders according to the price offered on 11 January. The Post Office has previously said that the City of Prague will have the right to match the highest bid and the municipality has announced that it is interested in the property.

The branch of the main post office in Jindřišská Street, which is part of the building in Politických vězňů Street, will be preserved and the new owner will have to conclude a lease agreement with the post office for it, as well as for some other parts of the building. The building currently houses, among other things, the management of the company.

The building was built between 1871 and 1890 and its first major alteration was between 1896 and 1899. Further major alterations took place between 1912 and 1920 and 1921. This was the basis for the valuation of the property, which was the basis for the calculation of the asking price. Between 1996 and 1999, builders carried out a major renovation of the property.

So far this year, the Post Office has received more than CZK 600 million for the sale of unneeded property. The company intends to offer dozens of unneeded properties before the end of the year. These include post office buildings, administrative buildings, land and flats.

By selling real estate, the post office is trying to stabilise its economy. Last year it ended with a loss of CZK 1.7 billion and expects a billion-dollar drop this year as well. Within two years, the company is to be transformed into a branch operator and a commercial parcel company.

Source: Czech Post Office and CTK