Hungary votes on changes in law on public construction

05
Jul
2023
News - Hungary votes on changes in law on public construction #construction #Hungary #law

by Property Forum | Report

The Hungarian Parliament voted in favour of the law on the public construction and investment regime with 136 votes in favour, 49 against and 9 abstentions. The law, among other things, makes the use of BIM mandatory for projects at or above the EU public procurement threshold, requires greater control over design and construction than before, and puts the whole life cycle of public works on a new footing.


The official purposes of the new act are as follows:

  • To put the system of public construction investments on a new basis and unify it.
  • To increase the efficiency of public construction works, with energy efficiency as a priority.
  • To provide adequate legal, professional and budgetary guarantees for investment operators in order to ensure predictability.
  • To strengthen and unify the public organisation involved in the implementation of public works.
  • To create a domestic construction environment in line with European law and values, and support domestic operators vis-à-vis foreign investors.
  • To improve the competitiveness of Hungarian construction enterprises and ensure that in the future investment decisions cannot be taken without the input of local communities.
  • To ensure that public construction investments are professionally driven.
  • To ensure that publicly funded investments are carried out in a coherent and coordinated way, with a predictable cost level.
  • To eliminate overlaps within the formerly fragmented organisation and ensure that certain investment-related tasks are carried out within the competent public institutions rather than by external resources.
  • To establish uniform technical requirements and contractual conditions.
  • To establish and update a knowledge base of contracting authorities to increase efficiency.
  • To establish a Public Investment Stakeholder Council.



New leases

  • UDH, one of Poland’s largest distributors of premium imported beers, has leased approximately 1,400 sq m of modern warehouse and office space at the Park Rysy Kraków distribution centre. The tenant, which has chosen to expand its operations in southern Poland, was once again represented by AXI IMMO.
  • Golden Star Estate has secured a long-term lease agreement with global technology solutions and consulting provider C&F for nearly 1,900 sqm of office space at the Konstruktorska Business Center. Following the transaction, the property, located in Warsaw’s Mokotów business district, is now almost fully leased. The Polish branch of C&F will officially relocate to the facility at the beginning of 2027.
  • Natland Group has committed to its long-term presence at Prague-based Rohan Business Center through a lease extension covering 2,004 sqm of office space, together with storage facilities and dedicated parking spaces, in a deal brokered by iO Partners.

New appointments

  • Indotek Group has announced the appointment of Diederik Bakker as Group Chief Investment Officer and Group Head of Asset Management. In his new role, the Dutch real estate investment professional will gradually assume responsibility for the company's ITAM (investment, transaction, and asset management) activities across 12 European countries, supporting the next phase of Indotek Group’s growth. His focus includes facilitating sound investment decisions across Europe and developing a group-level portfolio management strategy that combines local market knowledge with international asset management know-how.
  • Peakside Capital Advisors has appointed Bogi Gabrovic to advise the board and support its investment and acquisition activities in Poland. Gabrovic brings more than 25 years of CEE real estate experience to the role, having previously held senior executive positions at CTP, Golub & Company, and White Star Real Estate, where she managed transactions exceeding €2 billion.
  • Katarína Brydone, Jana Vlková and Vendula Maršová have been appointed as the first Equity Partners of Colliers’ Czech business. Brydone brings more than 20 years of experience in international real estate. Vlková has more than 25 years of experience in commercial real estate. Maršová, Partner and Head of Valuation and Advisory Services, brings more than 16 years of experience in real estate valuation and advisory.

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