Prague approves land sale for Nové Holešovice development project

The Prague City Council has approved the sale of land near the Nádraží Holešovice metro station to Nové Holešovice, a joint venture involving the Prague Public Transit Company (DPP), Karlín Group, and CPI Property Group. The decision follows over a year of political disagreement that had delayed the proposed redevelopment of the area.

The joint venture was established in 2021 to revitalize the metro station and surrounding land, with DPP expected to contribute land and later share in the profits from the development. However, the project was stalled in early 2024 after Deputy Mayor Zdeněk Hřib (Pirates) reversed his initial support, raising concerns about the joint venture’s structure.

Following a prolonged deadlock among coalition parties, a working group was formed to review the agreement and present alternatives. Four options were considered: the city joining the joint venture, entering a contractual agreement with it, revising the original plan, or dissolving the venture and developing a new model. The council ultimately supported the revised sale option, backed by councilors from the Spolu alliance (ODS, TOP 09, KDU-ČSL) and STAN.

According to Finance Councilor Zdeněk Kovářík (ODS), the city has completed its part of the process. Final approval now depends on the DPP and joint venture partners agreeing to updated contractual terms. The final sale price, originally estimated at CZK 173 million, is expected to be higher, though an exact figure has not been confirmed.

Karlín Group’s Jan Ludvík welcomed the decision, noting that while the project had lost time and incurred legal costs, development will now resume from where it was paused in February 2024.

The Pirates, however, maintain their opposition. Hřib reiterated concerns about potential links between individuals involved in the project and the Dozimetr corruption case, as previously reported by Lidovky.cz. He also questioned the procedure of the vote, arguing that it did not comply with DPP’s formal governance requirements. The Pirates may pursue legal action if the project continues based on what they consider a flawed resolution.

Opposition figures criticised the delays. Adam Scheinherr (Prague Sobě) said the project has only seen minor adjustments despite more than a year of political obstruction. Ondřej Prokop (ANO) warned that prolonged inaction could result in financial losses or arbitration risks, and argued that the current state of the station reflects missed opportunities. He suggested similar partnerships could be considered for other deteriorating metro areas, such as Roztyly.

Source: CTK