Liberec region will borrow CZK 1.3 billion for the construction of a hospital

23 February 2022

The Liberec region will borrow CZK 1.3 billion from Komerční banka for the construction of a new emergency medicine center on the premises of the Liberec Regional Hospital, and will add another CZK 800 million from its own budget. The loan was approved by the regional council yesterday. In the tender procedure, the region also received offers from Česká spořitelna and UniCredit bank and also negotiated with the European Investment Bank. Komerční banka’s offer was the most advantageous, Deputy Governor Zbyněk Miklík (Pirates) said at the meeting yesterday, who presented the material to the representatives.

The region will borrow a maximum of CZK 1.3 billion from Komerční banka, of which it must draw at least 700 million, which will bear interest at a fixed rate of 2.698 percent. For the remaining 600 million, floating interest is given by the three-month interbank PRIBOR rate reduced by 0.251 percent. The deputies approved the acceptance of the loan. The region expects to draw it by 2025, and from 2026 it should repay it evenly for ten years. According to Miklík, the region has more money ready for construction, payments are spread over several years, and financing the construction should not jeopardize further investments.

The construction of the new Emergency Medicine Center in Liberec has been prepared by the Liberec Regional Hospital for over ten years. It urgently needs a new building, it lacks a uniform reception and central laboratories, but also sufficient parking space. The work of health professionals is further complicated by the fact that the hospital operates in 38 properties, of which 14 are older than 100 years. The youngest building is a pharmacy, which is also over 30 years old. Since 1978, the hospital has not built any new building, only repairs or expands it.

After taking into account the costs of project preparation, relocation of utilities, land purchases, equipment and acquisition of equipment, the designers estimate the cost of a new pavilion with a parking house at approximately CZK 3.4 billion, including VAT. The hospital has already announced a tender for the contractor of the building itself with a maximum price of CZK 2.2 billion, the deadline for applications is March 24. In addition to the Liberec Region, according to Miklík, the hospital itself and the cities of Liberec and Turnov, which are minority co-owners, will also participate in financing the construction.

“Our project is theoretically financially secured at the moment, we will save another CZK 800 million in equipment. We appreciate the courage of the region to enter such a large project,” Petr Moos, who is in charge of the modernization project, told the representatives. So far, the region expects to have to finance the construction from its own resources, it is not clear whether it will be possible to obtain some money from European funds. The chairman of the financial committee of the regional council and the mayor of Turnov, Tomáš Hocke (Mayors for the Liberec Region), called for negotiations with the government to support the project.

Source: CTK

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