Principles for Cooperation with Investors

Transparent principles for cooperating with investors on the development of public infrastructure within the Brno territory

A fast and effective construction procedure, transparently established conditions for cooperation between the city and investors when building infrastructure or public amenities for new construction, and a balanced share of paying the costs associated with the increased strain on the territory. These are the main benefits of the Principles for Cooperating with Investors on the Development of the Public Infrastructure of the Statutory City of Brno.

The City of Brno requires investors to make their plans known while still in the preparations phase, i.e., before processing the documentation. This is the only way to forgo any unnecessary delays, namely unnecessary costs, the need to agree on how the built-up area will look, what sort of utilities must accompany the commercial construction, who will execute the work under what circumstances, etc.

The city does this because it cares that adequate public technical infrastructure is built alongside any changes, i.e., networking, a sufficient capacity of roads and car parks, public transport accessibility, as well as buildings with civil amenities, such as preschools, schools, and recreational green areas.

Based on concluded contracts, the investors will provide the city with an investment contribution set at 800 CZK per square metre of the net floor area of ​​the building plan. Contributions provided by individual building owners go to the newly established Developer Projects Fund. The fund’s expenditures will be designated for specific projects as part of building public infrastructure, including the necessary project preparations.

Apart from the actual city itself, the city districts may negotiate with investors, however, with the necessary procedure coordination and assistance from the City of Brno.

• For the city, proceeding according to the Principles is obligatory; it is recommended for investors and city districts. Unlike some EU countries, no law authorises the introduction and collection of a fee for strengthening the infrastructure of a city or municipality. However, the Principles are not a legal regulation; the contribution is paid on the basis of contracts concluded between the city or district and the investor.

• The plans for commercial construction adhere to the Principles in Brno. However, that means they do not have influence over private construction, which may include building family homes to satisfy one’s own housing needs, garages, sports grounds, or even small construction projects for production or warehousing buildings. • Proceeding according to the Principles does not replace administrative proceedings or other proceedings according to the relevant legal regulations, which must be conducted in accordance with valid and effective legal regulations for the placement and authorisation of an investor’s investment plan.

The Principles entered into force and effect on 1. 4. 2021.