For the third time, the Property Office failed to sell the Broadway Palace

by   CIJ News iDesk III
2022-08-11   03:32

The Office for the Representation of the State in Property Matters (ÚZSVM) failed to sell Prague's Broadway Palace in an electronic auction even today for the third time. In the auction with a reserve price of CZK 1.05 billion, no one placed even a minimum bid of CZK 200,000, according to Office spokeswoman Michaela Tesařová. ÚZSVM unsuccessfully tried to sell the functionalist building where the Broadway Theater is located in March this year and September last year.

The functionalist building by architects Bohumír Kozák and Antonín Černý is located between Na Příkopě and Celetná streets and dates from the 1930s. As in the previous two auctions, one interested party submitted the required deposit of 20 million crowns, but subsequently did not participate in the auction, which ended Wednesday at noon.

The property office will now offer to sell the palace at the asking price to the current tenant, which is the company M.I.C.C. Prague owned by investment and development company AFI Europe. The priority right results from the contract that ÚZSVM took over in 2016 from the then SŽDC, now the Railway Administration. "The existing tenant can exercise his preferential right within three months from the delivery of the notice. The goal of the ÚZSVM is to find a definitive owner for this exceptional property, which is located in the most lucrative part of Prague, as soon as possible, who will find a meaningful use for it and breathe new life into it," said Tesařová.

ÚZSVM, before starting the auctions according to the law, first offered the object to other state institutions, but none of them showed interest in it. So far, the highest sum of 790 million crowns was obtained by the state from the sale of the area on Republiky Square in Prague and the sale of the Prague area U Půjčovna, which was sold for CZK 355.1 million after 100 bids.