Prague's future city within a city

Described by its developers as a city within a city, Orco Property Group's massive mixed-use project, Prague Bubny, is one step closer to coming to life. At a meeting held Sept. 30, the Prague 7 municipality approved the property group's proposed modification of the district master plan.

"We have managed to arrange the basic parameters of the future shape of the area and to harmonize our views," Prague 7 spokesman Martin Vokuš said. 

Comprising residential and commercial units, as well as transportation, entertainment and recreational venues and a large public park, the property is set to rest on 27 hectares - located on a peninsula just northeast of the city center, on the historical Prague-Bubny railway yard grounds.

In the light of the multifaceted history of the project, the recent approval is definitely a step forward for Orco, a leading developer in the Central European real estate and hospitality market. Along with the need to work sensitively with the City of Prague, which expressed concerns about the project's outcome because they were unable to attach conditions for the future use of the land before its sale for 1.1 billion Kč to Orco from Czech Railways in 2008, Orco's own financial issues kept the project moving at a less than ideal pace. With liquidation looming as a massive debt of 1.97 billion euros was reported at the end of 2009, it wasn't until this May the company could diligently move forward with its most important projects after a restructuring program, which will help to settle Orco's debts over the next 10 years, was approved by the Commercial Court of Paris.

Touted as what will be one of the largest integrated communities in Central and Eastern Europe, the project's ambitions are projected to have significant implications on both a local level and on a wider scale.

"Unquestionably, the major feature [of Bubny] is the mix of different functions in combination with its location," said Jaroslav Linhart, development and construction director of Orco Property Group, Czech Republic and Slovakia. "The project represents a unique opportunity to develop a new city in a very central location."

Starting with the clean-up of the area, which has essentially been neglected over the years, Bubny's first line of action in the area's redevelopment is to unify the two parts of Holešovice which have been divided by the railway yard and the notoriously busy Argentinská street bordering the property to the east.

"The Bubny development will fill the current vacuum between two districts: Letná and Holešovice," Linhart said.

Most naturally contributing to this cohesion is the project's planned public park, which was one of the elements involved in what Orco said were a "number of modifications" made to the master plan recently approved by Prague 7. 

"We have moved the park closer to Bubenská [the street which borders the property on the west] so it will be more easily accessible to Prague 7 residents from all sides," Linhart said.

Along with the park, cultural facilities, retail and public services are being included to satisfy the project's social infrastructure vision and to fill a gap in what's currently available in the area.

"Bubny will provide all the features that are currently missing in the [Prague 7] district," Linhart said. "The project will strengthen the local capacities in all aspects: public services, cultural venues, transportation and job opportunities."

Although Orco, whose official stance is "It is too early to communicate particular projects," has not solidified the specific details of the project, the municipality of Prague 7 revealed some possibilities.

"According to our vision, the mixed city center should be built with a well-balanced portion of residential buildings, offices and shops," Vokuš said. "We also count on the involvement of ... schools, hospitals and other public institutions."

Transportation is also a major feature of the project, as the area is located in between two metro stations, connected to important roadways, and, of course the railway station.

 "The suggestion to the change of the area plan was given to Prague City Hall," Vokuš said. "This plan is to be approved next year."

Orco is currently working in close cooperation with numerous experts and an international team of architects on the urban study for the area, and Linhart says that satisfying the city's concerns is just a matter of time and clarity.

"The cooperation on a project of this size is a long-term task," Linhart said. "Communication on a regular basis appears to be a key issue. It is important that the city of Prague is able to define strategic objectives and needs."

As for how the company will handle some of the historical features of the property (the area has seven original buildings, including the main station and a period water tower), Linhart says Orco is "carefully considering new functions for several existing buildings."

Although Orco reports that the project has already commenced with the refurbishment of a small portion of the area for a new golf driving range to open in the spring of next year, it is estimated the main portion of the project will take approximately 10 to 15 years to complete, with construction beginning in 2013 or 2014.

"The portfolio of objectives is really wide," Linhart said. "The major challenge - and also advantage - appears to be the fact that the development will span over different economic and political cycles."

Joann Plocková can be reached at
features@praguepost.com