Prague should become the hundred percent owner of the congress center

Prague - Prague is set to become the sole owner of the Prague Congress Centre (KCP). Today, Prague councillors approved the transaction in which the city will acquire the majority stake from the state. In exchange, the state will receive Faust's House on Karlovo Náměstí in Prague, a plot of land at the Homolka Hospital, and a parking lot in front of the Ministry of Foreign Affairs. Additionally, Prague will balance the value of the stake with an amount of 2.21 billion crowns. At the end of May, the government approved the transaction, and today's decision by the councillors must also be confirmed by the city council.

The state's share in KCP is 54.35 percent, while the city has 45.65 percent. The properties that Prague will transfer to the state have been valued at 585.1 million crowns. The councillor for finance, Zdeněk Kovářík (ODS), stated that Prague and the Ministry of Finance reached an agreement after several years of negotiations. "We will gain the opportunity to invest in KCP for a longer period of time, allowing for the construction of an exhibition hall that will enable Prague to compete in the top five most significant congress tourism locations," said Kovářík.

According to the Ministry of Finance, a general meeting of KCP will be held in June to approve the transfer of all shares to Prague. The transaction is expected to be completed in August. Finance Minister Zbyněk Stanjura (ODS) previously stated that the state is not utilizing its stake long-term and is not receiving any profit from it. Holding it, according to Stanjura, makes no economic sense and is ineffective for state asset management.

KCP's Director Lenka Žlebková stated at the end of May that the transfer of ownership is crucial for the further development of the centre. "This should be the first step to unblock our development projects, specifically the construction of a new exhibition hall to the south of the building and the revitalization of the northern terrace in front of the congress centre," said Žlebková after the government's decision. Kovářík mentioned today that if all goes well, the construction of the new exhibition hall could begin at the end of this year.

The joint-stock company KCP was established on July 1, 1995. The congress centre offers 70 halls and lounges for events, ranging from small conferences to large congresses, including equipment at the highest technical level. It also includes the Business Centre Vyšehrad and the four-star Holiday Inn Prague Congress Centre with a capacity of 254 rooms. The owners are the state and the city of Prague. Its construction took place between 1976 and 1981, and at the turn of the second millennium, the building was renovated. It is a neo-functionalistic structure, designed by architects Jaroslav Mayel and Antonín Vaněk.