New City grant programme will support the revitalization of empty buildings and the construction of new apartments

The grants will be used to help fund the revitalization and reconstruction of buildings as well as the creation of new apartments. Applicants can receive up to 350 000 CZK per apartment.

Deputy Mayor Zuzana Bajgarová gave more details: “This new programme will help revitalize unused buildings in order to expand Ostrava’s housing stock. We have prepared it in connection with the City’s Strategic Plan in order to support renovation and reconstruction projects in these empty buildings. The programme continues the work already done by the Refill project, which mapped the buildings in Ostrava that have been unused for a long time and facilitated various forms of temporary use in order to breathe new life into them. Now, our goal is to transform these sites into long-term rental apartment complexes. This solution will address the increasingly acute problem of access to housing in the city. It’s a pilot project, and the first call for applications will enable us to verify the level of demand from owners.”

The programme will last for a number of years, and calls for applications will be announced at regular intervals. The City has approved 40 million CZK in funding for the period 2023–2026 as well as the announcement of the first call, which has been allocated a total sum of 20 million CZK. The City’s grant funding is 5 000 CZK per square metre of apartment space, up to a maximum 350 000 CZK per apartment. The maximum level of funding available per applicant is 3 million CZK. Grant funding is available to cover up to 50% of the total eligible costs of each project; the remaining costs are borne by the applicant (the owner of the building). The funding will be paid in two instalments: one half after the contract is signed, and the second half once the project is completed. The City estimates that the first call will enable around 60 apartments to be built or renovated.

Applicants for the funding may be either full or part owners of the building. Applications may be submitted from 1 March 2023 up to 12:00 on 31 March 2023. The application must include supporting documentation proving ownership and giving information on the current state of the building. The project implementation must not last longer than two years from the date on which the grant provision contract comes into effect. Apartments must be offered for rental during a period of at least seven years after the project completion, and some of the apartments must fall into the category of accessible housing. This is a form of rent control; it means that the rent per 1 m² must not exceed 70% of the average rent level. It is permissible to raise the rent once a year on the basis of an inflation clause. Applications for the grant funding must be submitted in electronic form and then either as a hard copy or via the national data box system. The final decision on awarding the grant funding will be made by the City authorities no later than the end of 2023. Projects are assessed on the basis of several criteria, including the applicant’s preparedness, the scope of the project, and other specific criteria (preference will be given to projects located within an urban heritage zone or those that will create at least one barrier-free apartment). Complete and detailed information about the programme can be found on the City’s website at https://1url.cz/Cr4V5.