CTP: The hotel at Spielberk Office Center will be built by 2010

Brno - A luxurious twenty-story hotel in the Spielberk Office Center near the center of Brno is expected to be completed in 2010. The development company CTP Invest halted construction of the last part of the center this year to have funds for other projects. The company’s CEO, Remon Vos, said today at a professional conference on the real estate market's development that construction of one of the tallest buildings in Brno is likely to start in the second half of next year.
    "We didn’t think it was good to develop these areas when we could use that money for other projects where there are specific interested parties," Vos stated. However, he noted that the company plans to resume construction of the building as soon as the Czech real estate market stabilizes after the issues related to the global economic crisis.
    The leading domestic developer has taken out several loans over the past year totaling more than 360 million euros (according to the current exchange rate, over nine billion crowns), mostly for five to seven years.
    The company plans rental revenues this year of around 75 million euros (nearly two billion crowns). Next year, they are expected to rise to as much as 100 million, Vos estimates. CTP Invest has approximately 1.4 million square meters of leasable space in the Czech Republic, which is its key market in Central Europe.
    Currently, about 90,000 square meters of space are available for rent in the Spielberk Office Center. Of that, about 75 percent is rented out, Vos specified. In addition, the company has other land in Brno and its surroundings. It owns part of the industrial zone Černovická terasa, approximately 200 hectares in Šlapanice, and several dozen hectares in Modřice and Pohořelice. The company has also purchased additional areas in the region where a new train station and a new district are planned. "Brno is a good market; we believe in this city a lot," Vos said.