Hochtief will build a multifunctional hall at the exhibition center in Brno for CZK 4.4 billion. Mayor of Brno Markéta Vaňková (ODS) announced yesterday. The city selected the company from four applicants. The amount includes both the construction of the hall and the parking lot, roads and utility networks. The construction of the hall will not start immediately, but according to Vaňková, the price is fixed. The city is now dealing with the financing of the project as well as the approval of public support from the European Union. If it does not approve it or the city does not raise the money, it is possible to withdraw from the contract or terminate it.
Brno wants to build a multifunctional hall on the exhibition grounds for up to 13,000 spectators. Sports and cultural events would be held there. The city received four bids for the building in April and has been evaluating them ever since. “The result is the selection of Hochtief CZ with an offer price of 4.444 billion crowns without VAT,” said Vaňková.
The contract was awarded by the city together with three city companies, namely Brno Communications, Teplárná Brno and Arena Brno. But the construction will not start immediately. “The construction site will be handed over and construction work will only begin on the basis of a call from the city of Brno,” said Brno councilor and chairman of the board of directors of Arena Brno Petr Kratochvíl (ODS). However, according to him, any time delay does not mean any additional financial costs for the contracting authority. “It is also possible to withdraw from the contract or terminate it in the event that the European Commission does not approve public support, or the financing of the construction is not secured,” said Kratochvíl.
Brno has been promised a subsidy for the construction of the hall from the National Sports Agency, which supports projects in the maximum amount of 300 million crowns. Vaňková had already discussed with government representatives about further support from the state for the construction of the hall. Recently, CTK said that it intends to continue negotiations as soon as the situation due to the energy crisis calms down.
The region also promised support. At the same time, Brno has approved possibilities to draw loans from Komerční banka in the amount of three billion crowns and from Česká spořitelna in the amount of CZK 1.5 billion. In total, it can draw CZK 4.5 billion from two banks. Vaňková said earlier that the money would go to investment projects, but she did not specifically name the hall. She also said before the municipal elections in September that such large projects would need to be carefully considered in view of the economic crisis.
Source: CTK
