News Article city Czech Republic development PDS Prague residential
by Property Forum | Residential

The City of Prague intends to provide rental apartments for firefighters, teachers, police officers and other necessary professionals in the next ten years with massive construction of public housing.  Last year, the city established the Prague Development Company (PDS), which is to prepare construction on city plots, the municipality announced.

Over the next ten years, the City of Prague, through its PDS, wants to participate in the construction of six to eight thousand flats on 400,000 sqm of land owned by the city. These should not only be flats for the professionals in need, but also for people who do not have the opportunity to get their housing and are not socially disadvantaged. 

"In the future, the whole project is to work in such a way that the City of Prague will provide land for the construction of the apartment building through the so-called right of construction for up to 99 years. This would then be built by cooperatives established by the municipality together with a private partner, or by special civic associations inspired by the German baugruppe. In both cases of cooperative and association housing, the entities would buy the land from the municipality only after the house itself has been paid off." It should be based on the principle of the city building the city," Deputy Mayor Petr Hláváček said at today's press conference.

Last year, based on the company's recommendations, the metropolitan administration decided to start preparing buildings in Vršovice, Smíchov, Palmovka, Ládví, Zlíchov, Dolní Počernice and Nové Dvory. Now the company is preparing several more projects for the construction of urban flats. These include plots in Prague 5, Nové Dvory, near the Libeň Bridge, in Horní and Dolní Počernice and Černý Most. In total, there should be 12 sites gradually up to 620,000 sqm in the territory of Prague and 56 investment projects. 

The Prague Development Company (PDS) was established in mid-2020 as a contributory organisation of the City of Prague.  Its goal is to value the real estate assets of the capital city and to develop urban rental housing projects in particular. PDS was established by the decision of the City Council of the Capital City of Prague. By the decision of the Prague City Council, the PDS has been given at the begging approximately 400,000 sqm of land owned by the capital city for management, on which it is planned to build 6,000-8,000 flats on the horizon of up to ten years.