Prague 3 Approves Agreements with Developers for Žižkov Freight Station

On September 13, 2023, the Prague 3 municipal council approved agreements with developers Penta Real Estate and Finep to develop the former Žižkov Freight Station (NNŽ) site. The agreements cover construction capacity, the number of parking spaces, and compensation to the city from the companies in the total amount of about 267.3 million Czech korunas.

The agreements were made based on a methodology approved by the previous city council for determining the developer contributions to the construction of public infrastructure necessary for their residential projects. Penta Real Estate plans to build 530 apartments, ten non-residential units, and 700 parking spaces in two phases on a portion of the extensive site. Finep’s project includes 1,200 apartments, a kindergarten, and 1,110 parking spaces.

The Prague 3 council approved the agreements today, and city councilors will vote on the Finep agreement on Thursday. The city will join the agreement with Penta Real Estate later.

According to Pavel Dobes, the Prague 3 councilor, Penta can start construction of the first part of the project, which will include 271 apartments, based on the zoning plan. Construction is expected to begin in early 2025 and finish two years later. The developer wants to change the zoning plan for the second part, which the city’s authorities must approve. As a result, the agreement anticipates the city’s future consent. According to the agreement, the developer will contribute 30 million Czech korunas in funds to construct an elementary school. The developer will also transfer approximately 21,000 square meters of land worth about 69.9 million Czech korunas to the city, predominantly used for parks.

In the case of Finep, a zoning plan change is necessary, and its proposal was included in the approved document today. City councilors will vote on the proposal and the agreement on Thursday. In this case, the developer’s participation amounts to about 167.4 million Czech korunas, of which 72.5 million Czech korunas will also be earmarked for constructing a new elementary school. The remaining value will comprise a kindergarten the company will build and transfer to the municipal district, land for new roads, and a planned green promenade.

As part of the agreement, Finep’s spokesperson, Tomas Hečko, said, “It is important for us that the considerable financial resources we provide under this agreement will be used to cover the needs of existing and future residents in the wider area. This fully reflects our approach and underlines our motto – ” live where we like.”

According to an approved urban planning study from last year, the Žižkov Freight Station site’s new neighborhood is expected to house up to 15,000 residents. Parks and several educational facilities, including an elementary school in the functionalist train station building, are planned for the area. The city plans to hold an architectural competition for the school and for the park to be built in the central part of the area and additional public spaces. A tram line will be built along the area’s northern edge along Malešická Street, and the new Jarovská Street will connect the neighborhood to the future section of the Prague Ring Road. Central Group is already building in the NNŽ area and plans to construct 4,600 apartments in three projects.

Czech Railways owns the functionalist train station building and created a joint venture with developer Sekyra Group, Žižkov Station Development, which has a pre-emptive right to the building. The city is now considering whether to purchase a portion of the building or establish a joint venture with Sekyra Group focused on revitalizing the station and converting it into a cultural and social center. According to a previous agreement, the functionalist station could house the National Film Archive, cultural and social spaces, or an elementary school. Sekyra Group also plans to build apartments and commercial spaces there.