Prague still interested in acquiring Czech Post building in Pankrác, but current auction conditions prevent the city from bidding.
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Prague still interested in acquiring Czech Post building in Pankrác, but current auction conditions prevent the city from bidding.


9/20/2023

The Czech Post is planning to sell the post office building in Na Strži Street in Pankrác in auction in the coming days. The city has repeatedly expressed interest in buying the property, but the terms of the auction prevent it from participating and are considered discriminatory. However, the Prague City Council reiterated on Monday that Prague was still interested in acquiring the property and would negotiate with the Czech Post and the Czech Ministry of Interior to modify the conditions to make them non-discriminatory and enable the city to participate in the auction.

“We have repeatedly called for the Post Office to apply the same procedure to the Na Strži building as we have agreed on for the properties in Moravská and Jindřišská Streets, whereby Prague will be given the opportunity to acquire the properties at a price corresponding to the highest bid in the tender procedure. This would ensure the maximum possible revenue for the Post Office while giving Prague a realistic opportunity to acquire the property. It is extremely difficult for Prague to succeed in an auction because it requires prior approval of the highest possible bid by the City Council, with a risk of such resolution leaking to the other bidders. Another hurdle is that the bid may be higher than the usual price, which is generally admissible, but needs to be properly justified, which is difficult to do when the amount is unknown in advance,” says Adam Zábranský, City Councilor for property, legislation and transparency.

“We have held a series of negotiations about a potential acquisition of the Czech Post building in Pankrác. Unfortunately, we have not yet reached a result that would be acceptable for the city, because under the current conditions it cannot participate in the auction. However, Prague remains interested and I hope that a solution can still be found,” says Prague Mayor Bohuslav Svoboda.

 

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