Brno will buy 84 apartments for young families from developers

Publisher
ČTK
07.03.2011 14:20
Czech Republic

Brno

Brno - Brno will purchase 84 starter apartments for young families from developers. The investment of 151 million crowns excluding VAT was approved by the councilors today. The coalition chose two entities as winners from the tender - Reko company and a consortium of companies called Impera. Each of them will build an apartment building for the city in the Kamechy housing estate between Bystrc and Žebětín. The opposition TOP 09 criticized the deal - councilor Jaroslav Kacer called it a scrappage scheme for developers. The mayor's deputy Oliver Pospíšil (ČSSD) rejected his criticisms earlier.
    Kacer criticized that the city is purchasing apartments at market price, also with land. Meanwhile, it owns land on which it could have buildings constructed. Furthermore, it would maintain influence over the architectural design, layout, and other details.
    However, Pospíšil previously stated in response to Kacer's criticisms that the real estate market situation offers a chance for a favorable purchase. "In a shorter time, we could achieve the same price conditions as if we were building," he told ČTK.
    The deputy also did not satisfy Barbora Uhlířová from the Society for the Support of People with Mental Disabilities. At the council meeting, she noted that there are few apartments for the mentally disabled in Brno, and the purchased apartments could serve them. According to Pospíšil, however, the starter apartments have a different purpose.
    In the buildings whose purchase was approved by the councilors, there will be one- and two-room apartments. The first tenants are expected to move in next year. The rent is set to be 50 crowns per square meter. This is at the level that tenants of municipal apartments with regulated rent pay in most city districts today. Renting apartments in real estate agency offers can hardly be found for less than 100 crowns per square meter. People will be able to occupy the starter apartments for five years, after which they must move out.
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