New buildings and renovations by Archina Design

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The architectural and interior design company ARCHINA Ltd. has been established in 1992 and its main area of the activities is to serve the clients the complete designs for all type of the buildings and interiors, especially for hospitality, office, commercial and residential buildings.

We have entered the fourth decade of our company’s business activities and the fifth decade of my professional career as an architect with two new project designs in the field of housing and a combination of a hotel and serviced apartments.

„I am highly pleased that our studio is working on designs which restore the use of historical buildings and complete them with sensitively placed extensions into harmonious units.“ (I. Nahálka)

Magnolia Health & Spa resort (architekti / architects: Ing. arch. Ivo Nahálka, Ing. arch. Jan Suchý; generální projektant / general designer: ARCHINA Design, s. r. o.

Successfully realized projects

The first of them is the renovation and extension of a historical building situated in Prague 1 into a 4-star hotel and serviced apartments Allure Hotel and Residence. The design has already won two major international awards, namely the first place in the German Design Awards 2024 in the Excellent Architecture category, and also the first place in the International Property Awards 2024. The building contains altogether 78 hotel rooms and apartments with complete facilities and a common reception.

The other of our implemented project designs is the renovation and change in the use of the historical building of the former hotel Vítkov situated in Prague 3. According to our design, an apartment building Youstone with total of 105 accommodation units built here. 

Another new project, which is currently approaching its completion, is the renovation and extensions of two historical buildings in Prague 2, originally used as a policlinic, which will be used as a rental housing concept for the CITY POP – Artisa Group. The building will include more than 100 residential units with complete facilities, a café and parking spaces.

Purohotel (architekti / Architects – Ing. arch. Ivo Nahálka, Ing. arch. Jan Suchý; generální projektant / general designer: ARCHINA Design, s. r. o.)

Hotels

As far as the upcoming project designs of large urban developments and urban systems are concerned, we have obtained a building permit for the first stage of the spa resort known as Magnolia Health & Spa resort, which will include spa hotel and wellness hotel. The interconnected buildings will house 150 rooms with spa and relaxation facilities and a conference centre. The project design is situated in the Southern Moravia Region in the district of Novomlýnské reservoirs.

One of the other returns to smaller projects and designs is one of my favourite hotel project designs in Prague, which is Alcron Hotel, awarded already in 1999 as the best European hotel in the category of luxury hotels. According to our project design, the construction of a rooftop bar extension with a panoramic restaurant and an outdoor terrace with a magnificent view of the historical centre of Prague has started. The project won a major international award, namely the 1st place in the International Property Awards competition.

Among the number of new hotel projects designed by our company, I would like to mention the renovation and extension of another historical building in Prague 1 – the Purohotel project, the construction of which will start in January 2025. Upon completion, a 4-star hotel with a capacity of 150 rooms will be built in Prague.

Renovations and extensions

As far as other projects and designs are concerned, I would like to mention the new construction and renovation of the Vyšehrad Residence development in Prague 2 and the renovation and extension of the historical building of Národní dům Smíchov cultural centre in Prague 5. These include also another two designs for the renovation of the important building of the former Živnostenská Bank in Prague 1, the renovation and extension of the former department store in Celetná Street into a 4-star hotel, and the renovation and extension of two historical buildings in Prague 5, where 180 residential units will be created upon completion.

Ivo Nahálka

Phooto: Archina Design archive

Rooftop bar extension with a panoramic restaurant and an outdoor terrace Alcron hotel (architekti / architects: Ing. arch Ivo Nahálka, Ing. arch Otmar Němeček; generální projektant / general designer: ARCHINA Design, s. r. o.)

Timber frame buildings contribute to the circular economy

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Construction industry is facing significant challenges, including a lack of resources and the implementation of strict regulations imposed by the new EU Green Deal regulations. Despite the conservative nature of the industry, DELTA Group’s innovative approach to the use of wood and other sustainable materials demonstrates that a rethink is possible. 

However, a successful transformation needs comprehensive changes, which require not only technological innovations but also an adaptation of financing structures and a broader cultural change. DELTA Group is committed to pioneering this change, supported by targeted educational initiatives and strong participation in national and international forums with the aim to control sustainable development. Erik Štefanovič, CEO and co-owner of Delta Group and its representative in the Czech Republic, answered our questions on this topic. 

What are the main challenges the construction industry in Europe is facing today in addition to the increasing emphasis on sustainability?

Construction industry in Europe is facing several challenges: Firstly, there is a significant shortage of resources, both in materials and skilled labor, partly still resulting from the supply chain issues of the pandemic. Secondly, a significant increase in refurbishments from the current 1% to over 3% is required in order to meet the EU Green Deal targets, although the market is taking a wait-and-see approach. Thirdly, there are challenges in implementing regulations such as the CSRD, the EU Taxonomy and the Supply Chain Act. After initial interest, there is now a certain amount of disillusionment about the high level of effort that these regulations entail. Many players are initially concentrating on fulfilling their reporting obligations without taking particular measures for improvement. In addition, existing ambiguities and room for interpretation mean that many stakeholders are adopting the wait-and-see approach in the hope that the requirements may still be adapted.

What is DELTA’s approach to the climate crisis?

DELTA Group is actively engaged in the fight against the climate crisis by integrating six sustainability objectives into each of their projects, which are based on the environmental objectives of the EU taxonomy. These goals are the cornerstones of our sustainability strategy for each individual project and are used to develop key performance indicators to make sustainability measurable and buildings comparable. Our employees receive specific training on all sustainability criteria through our in-house DELTA Academy and are supported in implementing these objectives by an interdisciplinary team of integral consulting experts. We also take on leadership roles and actively participate in working groups in national associations and organizations such as VZI, IG Lebenszyklus Bau and ÖGNI in Austria. As for the Czech Republic, we are in close contact with the Czech Green Building Council (we are actively represented in most working groups), as well as in Slovakia and Ukraine, where DELTA is also active. We are proactively involved in raising awareness and promoting sustainable change in the industry.

The construction industry is responsible for 40% greenhouse gas emissions. What do you think are the realistic reductions achievable by 2050?

It is difficult to set precise reduction targets for greenhouse gas emissions by 2050, as we currently lack precise measurement methods, and many calculations are rather theoretical in nature. It is important to understand that the operation of buildings accounts for 80% of emissions on average but can vary greatly depending on the asset class and life cycle. For the first time, the EU taxonomy provides a clear framework that prevents greenwashing and steers investments towards sustainable projects. Nevertheless, the challenge remains that many players in the construction and real estate industry are hesitant to act and are not yet consistently implementing the necessary steps to reduce emissions.

Which particular steps will lead to the most environmentally friendly construction in your opinion? What do we need to change at first?

The absolute focus here is on minimizing CO2 through highly energy-efficient buildings that are operated with non-fossil energy sources and the reuse of building materials as part of a functioning circular economy. For new buildings in particular, technologies such as seasonal energy storage via geothermal probes can be used to operate buildings CO2-free, which requires higher initial investment but pays off in the long term. When renovating existing buildings, however, holistic solutions that go beyond the boundaries of the individual property and make use of existing synergies in the neighborhood are required. The circular economy is still in its infancy; there is a lack of a broad range of cradle-to-cradle or recyclable products. Manufacturers in particular, but also planners and contractors, must therefore undergo a paradigm shift in order to take this important topic into account in the future. 

What is the most effective way to reduce a buildings’ carbon footprint nowadays?

The most effective way to reduce a buildings’ carbon footprint is to use sustainable energy sources for heating and cooling and to increase the energy efficiency of the building envelope. Even in the early planning phases, further optimization potential should be investigated through life cycle assessments and life cycle cost calculations, particularly in the construction. These should then be weighed up in terms of the cost-benefit ratio.

Should we focus on the embodied or operational carbon footprint of buildings?

It is crucial to consider both the embodied carbon footprint and the operational carbon footprint of buildings in order to achieve a comprehensive transformation in the construction and real estate industry. While reducing the operational footprint through more efficient operations often offers the greatest potential savings, considering the embodied carbon footprint is essential in terms of resource conservation and the circular economy. This becomes particularly important when considering that resources such as sand, which are already scarce today, may no longer be available in the future.

Construction industry is a conservative sector where change happens very slowly. Do you foresee more tangible changes in the future?

Although construction is a conservative industry and changes are often slow, the regulations that have already been implemented have triggered important processes. Nevertheless, the current momentum is not sufficient for bringing in fundamental changes. There is hope that this will change when all regulatory instruments are fully implemented, sustainable projects are supported by significantly more favorable financing from banks and an increasing carbon tax no longer allows for alternative options. A broad and serious change in awareness is still required in order to consistently continue towards sustainability. There is currently still a lack of comprehensive incentives for manufacturers, project developers and property owners to invest in sustainable projects. The current subsidies are often too specific and only cover part of the necessary investments. In the long term, only more comprehensive incentives at company level, such as generous tax write-offs, could lead to a more profound change.

We also find large timber-frame buildings in DELTA Group’s portfolio. What do you see as their main positives and negatives? What is the future building material according to you?

The use of wood in buildings offers significant advantages, in particular due to its low CO2 footprint, high modularity and flexibility in the life cycle. Timber-frame buildings allow materials to be reused or returned to nature without ending up as hazardous waste. They also offer excellent indoor air quality and contribute to a pleasant atmosphere. However, global wood resources are limited and the extensive use of wood as a building material depends heavily on the asset class, national building regulations and the planned utilization concept. The market maturity and cost neutrality of alternatives such as CO2-reduced concrete and reusable building materials and elements will still take some time. In order to support the principles of the circular economy, buildings must be designed in such a way that they can be flexibly redesigned for different uses or easily dismantled at the end of their useful life and the materials recycled or reused. This also requires systematic cataloging of all building materials in a digital construction material passport, ideally from a BIM model, to efficiently manage and use information for reuse.

Red.

Photo: DELTA Group Archive

 A complex of six administrative buildings for 200 employees with facades of larch wood. Klimaaktiv Standard building certification. Photo: Christian Brandstätter 

Erik Štefanovič, Managing Director and co-owner of the DELTA Group, is the key figure in the DELTA Group. He is known for his commitment to sustainability in the construction industry, which he actively promotes in all the company’s construction projects. Under his leadership, DELTA Group focuses on incorporating environmentally friendly solutions and elements of sustainable construction, thus contributing to responsibility towards the environment and future generations. This approach is supported by integrated consulting, which he promotes as an essential part of comprehensive project planning. He is also a confirmed supporter of innovation and modern technologies such as BIM and digitization of construction processes. Erik‘s motto ‚look for the solution instead of the culprit‘ illustrates his proactive and open approach to all challenges.

Photovoltaics leads to energy independence and stability: Why invest in it even today?

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Improving the energy profile of a property that meets ESG requirements, local consumption of produced energy that reduces building operators’ economic dependence, price certainty that enables stable financial planning — these are some of the benefits of installing a rooftop photovoltaic power station.

These experienced their boom after the dramatic rise in energy prices in 2022. However, despite the calmed situation, there are still several reasons to invest in rooftop photovoltaics even today. 

Financing options through Raiffeisen – Leasing 

Two years ago, the increase in energy prices motivated many companies to invest in photovoltaics, expecting primarily financial savings and predictability of future costs. Nevertheless, energy self-sufficiency makes sense even after the dramatic period of price increase has passed. The unstable security situation in Ukraine and the Middle East persists and can have a significant and, above all, unexpected impact on energy prices. 

What is important for the operation of commercial premises as well as housing blocks is predictability and, above all, stability, which needs to be reflected in the financial plans of projects and also in household budgets. Photovoltaics can provide their owners with immediate financial relief in the form of savings on several components of the final price of electricity. These mainly represent distribution fees and a fee for supported energy sources (SES), which you do not pay in the case of the installation of photovoltaics and energy consumption directly in the building or complex of buildings. 

“Rooftop solar power stations allow their owners to plan their financial future better thanks to the certainty that they will not be surprised by price fluctuations caused by global or local affairs in the coming years. However, it is always necessary to think about how to best financially secure the investment in photovoltaics. At Raiffeisen – Leasing, we offer several options. With classic financing based on the applicant’s past financial results, the client gains greater flexibility in setting the parameters of electricity sales. The second option is the creation of a project SPV, where the photovoltaics is repaid from their own operation. Another option is that Raiffeisen – Leasing’s partner builds rooftop photovoltaics at their own expense and concludes a 20-year energy supply contract with the owner of the building. The final price of electricity does not exceed the price of the original energy supplier. Once this period is over, the photovoltaics gets transferred to the owner of the building for CZK 1,” Přemysl Beneš, Managing Director of Raiffeisen – Leasing, outlines the options for financing a photovoltaic power station. 

Photovoltaics helps meet ESG requirements  

The improvement of sustainability parameters and the fulfilment of ESG requirements are also not on the sidelines of interest. Rooftop solar power stations significantly improve building’s energy efficiency. At a time when more and more tenants consider ESG principles a key factor when choosing a property and when many companies work intensively on their green transformation, photovoltaic systems are a meaningful solution for fulfilling sustainable commitments. “When it comes to older buildings with limited options for changing energy management, photovoltaics is often the only way as to how to meet ESG requirements. And we are ready to set up for our clients financing for this commodity as well and to provide a subsidy service that will help to get grants,” adds Přemysl Beneš.

Raiffeisen – Leasing is a proven partner that takes pride in an individual approach. From the first phase of the project and its preparation to the completion of the process, clients communicate with a team of professionals who are aware of their needs and possibilities and prepare a custom-made solution for them. The fact that clients who have tried out the Raiffeisen – Leasing solution repeatedly return to us speaks for the quality of the services.  

PR

Photo: Raiffeisen – Leasing and Depositphotos

As an urban developer, Passerinvest Group puts generosity into buildings

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Passerinvest Group is a purely Czech investment and development company founded in 1991 by Radim Passer. As an urban developer, builder and investor, the company has, since 1996, mainly been associated with Brumlovka in Prague 4 and, in recent years, with the Roztyly area in Prague 11. 

We asked Radim Passer, the founder of the company and Chairman of the Board of the Passerinvest Group, to evaluate the past period and outline some plans for the future. 

How has the Passerinvest Group been doing in the last decade? 

The value of the company has shifted. I believe it will be in the order of over 100% over the last decade. It should also be the case with many other companies that have been established in the market for some time. This is the criterion I have to follow as a shareholder. I think that even some companies that are larger than us, though in other fields of business, also achieve at least the same numbers. 

You must be satisfied with such a result…

It is certainly nice to see that the company’s value grew by 10% per year, but in today’s global world, it is no wonder. On the other hand, it is good that we are growing, but it is not the most important criterion.

And which one do you think is the main one? 

In my opinion, the most important criterion consists in knowing that we are doing work that not only I enjoy, but also my colleagues, and that it benefits someone else. From this point of view, the decade was certainly a success. It started with the completion of Delta in 2015, one of the largest administrative buildings in the Czech Republic with an area of approximately 43,000 sq m. At that time, we had a strategy of buying back Brumlovka buildings that we had once sold off. In total, we managed to buy seven out of nine. Two of them were completely reconstructed – Buildings A and B. Basically, they were the first administrative buildings that were built in the Czech Republic after the revolution and underwent reconstruction at the same time. 

What has influenced you the most in the past decade?  

The last few years have been marked by matters that go beyond any control of people from business environment – first the Covid pandemics and then the war in Ukraine, which has, in many ways, been reflected in the key parameters we follow. Covid led to the home office, the war in Ukraine caused interest rates to rise and of course valuations to fall. All of this affects the commercial real estate market. Even so, I think that – even if the decade is supposed to end in the current weeks and/or months – we have not lost our will to work, to be reasonably brave and to take risks. Even in these difficult times, when the numbers do not turn out the way we would expect them to, we commenced the construction of a new administrative building for the free market, which has not happened in Prague for more than two years. 

What do you consider to be the major milestone in your business?

The key milestone in my business was the year 1998, when I accepted Jesus as my Lord and Savior. This changed my priorities in life and without a doubt it had a very significant effect on my business. Even before that, I tried to implement projects to make them nice as part of my thought schemes. But the level of generosity has increased manifold since then. Around 2000, when we were already experienced with global corporations, we began to realize that our mission is to create a working environment for people. Some of them spend a third of their lives, including sleep, working for corporations. There are 168 hours in a week, and extremely busy people work over 50 hours a week. This led me to create a friendly working environment for them. Every commercial developer commonly tries to build a building that meets current standards, but we add something extra to that.

Passerinvest Group has always been a pioneer in creating a pleasant working environment in Prague. This includes relaxing green roof gardens or an offer of quality gastronomy, etc.

We created the first roof garden in 2003 – it’s been over 20 years now. It is an investment in beauty worth 1.5 to 2% of the total cost of the project. In other words, yes, it is money, usually tens of millions of crowns at each stage of construction. It will not jeopardize the project economically, and if you do it nicely, people will like it there. And if people like it there, so do the corporations. This sense of generosity was naturally further enhanced by the fact that, in addition to ‘ordinary’ development, we also engaged in urban planning, which also set us apart from the competition. We are constantly and intensively developing one locality, gradually adding a little more into it, but it is basically still about Brumlovka.

How many people are currently working there, i.e. in Brumlovka, and what is the occupancy rate? 

According to the air conditioning performance, the buildings have the capacity to accommodate around 20,000 people, but companies usually do not fill that much space. No new administrative buildings have been added since the Delta building was completed, so there are currently about 12,000 to 13,000 people working there. The home office continues to reverberate, so realistically, there are about 7,000 to 8,000 people present in the area per day. Before Covid, it was around 4,000 more. In the future, we anticipate the aforementioned 20,000 people. As for contractual occupancy, it is in the order of 98% or more on the 210,000 sq m office space. The physical presence of people in the premises is also influenced by the corporate policy of the individual tenants, as some corporations have decided that all employees must be present in the offices. And others have a problem getting people back to the office, because they got used to working from home during Covid.

The Brumlovka complex also includes apartments. What forms of housing are there already or are being planned for the future? 

After the completion of the Hila multifunctional building, we should have approximately 300,000 sq m of rentable premises there. This number corresponded to the expected final size of the completed Brumlovka complex in the first half of the 1990s. Today we know that if Brumlovka was completed in its entirety, it could reach up to 0.5 million sq m. I want to point out that of this 300,000 sq m, approximately 230,000 sq m will be intended for offices (of which 20,000 sq m in the Hila building). The remaining premises will include shops, services, a Christian-family-type school as well as apartments. The already completed apartments have been built for sale, but there are not many of them; around 250 if we consider the higher quality. There are approximately 150 apartments of medium quality there from the past, so in total it comes to about 400 apartments. Most of the owners of the higher quality apartments actually live there. The Hila and then Orion buildings will offer a little over 200 rental apartments in two stages, which will be part of the administrative complex. These apartments could serve the corporations for their employees, who – as we have found out – are of more than 40 different nationalities. Of course, not everyone wants to live right where they work, but for some of them it will be clearly advantageous. 

You also have experience with the development in Ostrava…

The Nová Karolina Park project made us really happy. For one thing because of what it looked like – CMC architects designed a beautiful house, and it was eventually also rented well. Although it took longer, for a year and a bit, we prayed and fasted so that there would be progress in rentals in Ostrava. In the end, it turned out economically even better than we expected, and we sold the building. 

The opening of the Roztyly Plaza administrative project attracted a lot of attention. 

We are also happy with Roztyla Plaza. I personally rank it among the top three administrative buildings in the whole of Prague. At least according to my subjective criteria, as I know the other administrative buildings. I think that Roztyly Plaza worked out wonderfully for Mr. Aulík and his team. He has created a wonderful atrium there. Although we also had a nice big atrium in the Gamma building, for instance, this one is even better. Of course, the roof garden with breathtaking views of Prague and Krčský les has also turned out beautifully. Roztyly Plaza makes us happy, and I believe that it will mainly make the people who are to work there happy. 

But this is not your last project in the Roztyly area in Prague.

Of course, we have other plans in Roztyly. Now (after years of hard work in the field of approval processes, combined with complex acquisitions and with partial but almost endlessly long zoning changes) we have really moved on. Finally, we are in a situation where we can continue planning subsequent construction. That is why we are happy that Roztyly Plaza is completed and that we have a valid building permit for another significant administrative building in Roztyly, the Sequoia building, which will have over 33,000 sq m. We want to commence construction in the coming months. First of all, we have to prepare the infrastructure, which will be followed by the construction of the new building. Now we got the opportunity to complete the EIA for the residential part of the Arboretum in Roztyly. This is, so far, our biggest residential project. It will include approximately 600 residential units, and we would like to commence the construction in early summer 2026, if God permits. That means that ‘our’ Roztyly comprises three stages – one completed and two in preparation. 

And what is the future of Brumlovka?

We also have three more stages waiting for us in Brumlovka and, just like in Roztyly, we are preparing almost 100,000 sq m there. It is the aforementioned Hila building, which is under construction, and then the Orion building, which will have a similar structure to Hila, only a little bigger. So, it will mainly comprise administration, plus rental apartments and some services. We naturally always try to arrange for a sufficient number of spacious parking spaces, because we consider it something that simply belongs to quality development. Then there is the Omega building, which is in a stage of a completed acquisition with the state after 26 years. Once the transaction was concluded, we immediately started the approval process because we already had the project documentation ready. We would probably like to commence the physical construction in 2026. In total, this should represent approximately 190,000 sq m in both locations. I think that, if God permits, these beautiful stages will really enrich Prague. They should be beautiful not only from architectural point of view, but of course also thanks to their surroundings, in which we will not be afraid to invest.

Does this correspond with the prognosis of the increase in the number of inhabitants to two million?

Nowadays we already say 2.5 million inhabitants. If people think realistically and not just about what some statistical reports say, they know that Prague does not only have 1.25 million inhabitants, but 1.5–1.6 million. If the Czech Republic is to be a country for 15 million people in order for it to prosper sustainably and in the long term, which none of our governments have yet understood, Prague must be a metropolis for 2.5 million inhabitants. 

Arnošt Wagner

Photo: Passerinvest Group archive

Academy of Modern Building Management: Ready for the office environment of the future

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The working environment in offices has changed significantly in recent years. In addition to the economic crisis and the growing emphasis on energy efficiency, the COVID-19 pandemic also played a key role, which fundamentally limited the operation of office space for two years. 

This situation led to a massive boom in working from home and subsequently to increased requirements for the quality and safety of the indoor environment in offices. Most recently requirements for compliance with ESG principles play an important role. 

With these changes, there is an increasing pressure to adapt building management to new trends and guidelines. The aim is to motivate employees to return to the office, where a modern working environment should ensure high productivity, comfort and health.

The Czech Green Building Council responds to this challenge and comes up with a unique educational program – the Academy of Modern Building Management. The academy will offer participants a deep insight into the eight key characteristics of a healthy office and show how to effectively measure important parameters to improve the quality of the working environment and reduce the carbon footprint of building operations.

The Academy programme will focus not only on examples of good practice, but also on problematic areas, with an emphasis on new tenant requirements and optimization of operating costs. Participants can look forward to the experience and knowledge of more than ten experts in various fields, including HVAC, lighting, acoustics, ergonomics and biophilia. These experts will present the latest trends and offer the opportunity to get acquainted with modern materials and technologies.

The academy will take place in five blocks during October and November in modern office buildings, which will serve as a practical demonstration of the latest solutions for a healthy indoor environment (e.g. Riverside, Embassy of Canada, etc.). Participants will gain theoretical knowledge and practical experience that they will be able to use immediately in their own operation. Each block will include plenty of space for discussion, questions and sharing experiences.

We believe that the final discussions will be inspiring and will help participants incorporate the acquired knowledge into their daily practice. 

If you are interested in learning all about new office trends, register at https://www.czgbc.org/cs/akce 

 

 

Symbiosis of modern architecture and ecological responsibility

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The timber-framed construction project of the student campus located at our Austrian neighbours’ in Ried is a remarkable example of sustainable construction and modern architecture. It is situated at the site of the Sisters of Mercy Hospital and provides students with an innovative and environmentally friendly environment for both studying and life. 

The building comprises a timber-framed structure made of forest beech, which is not only aesthetically appealing, but also offers significant ecological benefits. The main building material is wood – beech was complemented by a fir facade and spruce windows. Mgr. Marcela Kolářová, spokesperson for DELTA Group ČR, specifies that the building is mainly built from regional wood. “Wood reduces the ecological footprint, but also symbolizes a return to traditional construction practices. It is a renewable resource that binds CO₂ and thereby contributes to climate protection. Thanks to the successful architectural concept of using wood even on the facade of the building, the building confirms the fact that wood gives the building a natural aesthetics. When visiting the interior, it is evident that it supports a cozy but also healthy indoor environment.”

Energy efficiency and ecological building materials 

The timber-framed building of Campus Ried is equipped with many energy-efficient technologies, including photovoltaic panels for the production of solar energy, a modern heat pump and a ventilation system with heat recovery. These technologies significantly reduce energy consumption and operational costs.

Thanks to the use of sustainable materials, the 220 pupils and students learn in an environment free of harmful substances. Apart from wood, there were also other ecological materials used, these having a minimal impact on the environment. The building is designed to be easily dismantled and recycled if necessary. 

Sisters of Mercy Hospital, Ried 

Investor: Barmherzigen Schwestern Hospital, Ried, Austria 

Lokalita: Ried, Austria

Total costs: EUR 13 mil. 

Total floor area: 7,500 sq m (four above- ground and one underground floor building) 

New campus for nursing professions: building for 220 students, pupils and teachers

 

Integration into the hospital campus 

The project had to meet specific requirements as it is located within the grounds of the Ried Hospital. The architects from Delta Pods Architects worked closely with the medical staff in order to make sure that the design meets requirements of a medical facility. This included aspects such as noise protection, transport accessibility and compliance with strict hygiene regulations.

The Ried Hospital project is sustainable not only from the point of ecological sense, but also social and societal one. This building combines education and health care in one place. Students prepare, within the campus for a career in health care directly within the hospital premises, which provides them with a unique opportunity to combine theoretical knowledge with practice. This approach not only ensures a skilled workforce, but also promotes sustainability by eliminating commuting between school and place of practical training and brilliantly connects educational institutions with healthcare services. 

DELTA Group activities on the project:

  • Architecture
  • Project management (project management and coordination)
  • Lean Management in the process of planning and project preparation 
  • Investors technical supervision (ITS)

Points of interest:

  • Reduction of construction time and building processes due to the high degree of prefabrication of wooden components
  • Sensor technology, automatic shading and a targeted ventilation concept to control humidity and save operational costs
  • Thanks to the ecological concept, resource conservation has already been taken into account in the logistics of the construction site and in the selection of suppliers, and natural materials such as clay filler come from within the region 

For more details and interesting facts about the project see: https://www.delta-pods.com/en/projekte/campus-hospital-of-the-sisters-of-mercy-ried-at/

How is the project perceived by the public 

Austrian media acknowledged the project as a ‘model of sustainable construction’. It is often emphasized that the timber-framed construction of Campus Ried plays a pioneering role in the field of ecological development and can serve as a model for future educational and healthcare facilities.

An interesting aspect that is often mentioned in connection with this project is the ‘user orientation’ in the design of the concept of the building. The building was designed not only with ecology in mind, but also with a strong focus on the needs and comfort of future users – students and hospital employees. This shows, for instance, in open common spaces, well-lit rooms and quiet nooks optimized for learning and relaxation.

Appreciation and recognition of a campus designed for future medical staff members

The project has also been nominated for several awards in the field of architecture and sustainability. This recognition reflects the excellent performance of the team, which has managed to create a highly functional building that meets the highest standards of environmental protection and user comfort. The new timber-framed building of the educational campus is, moreover, surrounded by a beautiful garden, which serves as a recreation area for the patients of the Sisters of Mercy Hospital in Ried. The white emblem in the central part of the garden was incorporated into the building as a symbol of the cap worn by the Sisters of Mercy. 

PR, Photo: DELTA Group ČR, David Schreyer

Ergonomic furniture for schools and homes

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The company was founded in 1906 by Heinrich Flötotto, the great-grandfather of the current director, as a small carpentry workshop in Gütersloh in North Rhine-Westphalia. Nevertheless, they switched relatively quickly to mass production and offered home furniture and interior fixtures and fittings. 

During the WWII, the company had to produce tailplanes for the first jet aircraft. Due to the lack of aluminium, they used a specially developed material, so-called PAG® wood. These thin beech veneers were pressed into moulds with phenolic resin. Frederik Flötotto, CEO of the family company of the same name, told us more about it. 

How did the new material come about?

What was originally intended only for tailplanes and other parts in aircraft construction was developed by my grandfather and his brother Fritz Flötotto for furniture production. It was the basis for the wooden shell of the seat, which had such innovative properties that it was mainly predestined for use in schools. This made Flötotto the market leader in the school furniture production segment. Since 1952, more than 21 million so-called Flötotto contoured-seats have been sold worldwide.

How has the company and its production programme developed over the years? 

Great success and market leadership in the area of furniture for educational institutions made the company slowdown in the 1970s and 1980s and make way for competition. Flötotto lost large market shares at that time. When Frederik Flötotto took over the management of the company in 2019, school furniture came back into the spotlight. Today, Flötotto is once again a leader in innovations for the sustainable planning of learning spaces and equipment for educational institutions. We are intensively involved in the latest development in education and that is why we develop new equipment. Our offer starts with typical ‘free standing furniture’ for learning spaces and extends to open learning landscapes, specialist classrooms, dining rooms, auditoriums, corridors and modern teachers’ offices. In addition to free standing furniture, we also offer complete furniture programmes. That also makes us your partner for customized interior furnishing. We can synchronize all materials, colours, decors, both free standing and affixed equipment. The atmosphere and sense of space that this connection creates is unique. This also turns the learning spaces into living areas that offer enough space for social interaction. 

How have customer requirements changed and where is the current trend headed? 

We focus on learning for the future and experience a major revolution in this area. In the Czech Republic alone, we work on countless innovative projects and represent a relevant development partner of school authorities. We have a daily contact with teachers at respective schools. Our new learning space and open classroom concepts support children and youth in an age-appropriate manner – from playful learning in lower years through to deep learning in the upper years. That is why we create a variety of harmonized learning environments that enable different working conditions: spaces that can be modified in different ways or used to support interdisciplinary pedagogy, mobile furniture in different surface heights that allow activities to be conducted while seated or standing. These are larger and smaller room constellations for different environments, for example with soft upholstered modules that also include the floor as a working and learning area.

How do you cooperate with designers? Do you use well-known names and reputable studios, or do the designs come from your own studio?

The development of new products is always preceded by a fundamental process. We work with pupils and teachers and listen carefully in order to identify problems that occur in the everyday life of school. The usual range of standard school furniture manufacturers from the 1970s does not offer solutions for new and sustainable learning for the future. That is why we are here to develop new products. We usually work with external designers who bring a new perspective, look at the problem more objectively, come up with different approaches and inspire us. For us, it is not so important whether the designer is of a great repute. What is decisive for us is whether he is prepared to pursue the issue intensively and to work closely with us. Of course, we are still pleased that designer Konstantin Grcic has developed our most famous product, the student chair PRO CHAIR. Konstantin Grcic is no doubt one of the most sought-after designers in the world. However, fame was not the main criterion for choosing our joint key product. It was more likely the precise analysis of the assignment and the extremely professional and sensitive implementation of the design process. Design, ergonomics, production processes, budget specifications – a good designer takes all these aspects into account in his designs. 

You address your offer to architects, developers and local authorities. How does our market perceive experiences from abroad? 

Our ideas, approach and expertise are met with great openness. Our contacts include architects, local authorities or schools alone. We work on an international level, accept new ideas and different demands for the future of education from around the world. In a certain way, we function as a ‘melting pot’ and can integrate this international experience into our projects, for instance here in the Czech Republic. This results in an educational space that fully meets local requirements, but at the same time complements all useful experiences and aspects from abroad. This way we can also offer and implement innovations at the highest level. 

You mainly produce furniture for school facilities. Do you also offer some other assortment? What is its share in the total production volume?

Apart from school furniture, Flötotto has always also offered a completely separate collection of furniture for homes. Our profile system celebrates its 50th anniversary this year and covers all important areas of life and housing. Modular furniture is a kind of modular system with great flexibility that intelligently and timelessly meets the needs of our customers – from the living room to the bedroom to the children’s and teenager’s room. Compared to the school furniture division, the home furniture division accounts for approximately 25% of our total production volume and remains an important part of our portfolio. 

In addition to design, ergonomics also plays an important role in the development of a new model. Does it mean that you invest in research and cooperate with experts and doctors? 

Ergonomics is very important, the key word actually. Taking our PRO CHAIR as an example, ergonomics was the starting point of development. Pupils sit in a chair for many hours a day. Although the school environment constantly evolves and pupils have more and more movement while learning, the chair remains indispensable. On its development, we worked closely with the German Sports University in Cologne and created a commission made up of ergonomics experts and doctors. Chairs are often designed to give the user as much support as possible. However, we wanted the opposite – a chair that not only allows movement in all directions, but a chair that actively supports movement. That is why our almost circular seat is rounded on all sides, the flexible backrest is very narrow and has a pronounced ace-shaped curve for temporary lumbar support. Thanks to our chair and intuitive movements on it, more than 400 muscles are naturally trained by switching between tension and relaxation. Intervertebral discs are better supplied with blood and nutrients. This intuitively supports an active and productive sitting position. Last but not least, our open sitting position also supports pedagogical requirements and the alternation of individual and group work. 

Which model or programme do you find the most successful?

Our strongest product group is the PRO CHAIR collection. Basically, it consists of a seat and a frame that come in different colours and sizes. By combining the seat shell and our frames with many practical accessories (three-dimensional seat mechanism, writing pad, storage baskets, upholstery, leather cover, etc.), we can offer over 10,000 different configurations. Thanks to this diversity, we equip not only schools from all fields of study, but also modern office spaces, training centres, concert halls, hospitals, restaurants, and even produce the right chairs for a home office or a dining room. 

What is your plan for the future? What do you want to focus on?

Our strategy is to further expand our position as a leader in school furniture innovation. We want to be the best at what we do. What is also very important for us is to pay special attention to responsibility towards society and the environment. Our commitment to the environment has already been awarded with the ISO 14001 certification. In their daily work, our teams from around the world implement everything that is necessary to save energy and resources. We are also currently starting to certify all products with the EU Ecolabel. It goes without saying that all the wood we use is PEFC/FSC certified; we also only use water-based paints. All products are designed from the outset to be repairable and recyclable at the end of their life cycle. We are also working on a 100% circular economy concept so that the seat shells can be recycled, and new seats can be made from the recycled material. We are just at the beginning with many of the ideas that we intensively work on, and we want to develop them further. Stick with us. The future starts right now!

Alica Born

Photo: Flötotto archive

Warsaw is no longer an ugly duckling

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The 10th year of the CEE Summit took place in Warsaw between 21st and 22nd May. The event is traditionally co-organized by The Poland Observer and Real Asset Media. Their goal is to connect international investors, developers and banking experts with the local real estate and business community. 

The CEE Summit was established in the market as an important regional event that gives local and foreign experts the chance to keep up with the market and meet the people who shape it not only now, but also in the future. 

The Warsaw Property Tour – in other words, in Warsaw, they build on every other corner 

Every year, the summit is preceded by a tour of new development in Warsaw. The Polish capital has changed beyond recognition in the last decade. Strange unsightly objects and enclosures disappeared from its centre and were replaced by glass skyscrapers. Every year, foreign conference participants have the opportunity to visit some key projects that are either under construction or already completed. This year, it was, for instance, the recently opened 452 m pedestrian and cycle bridge over the Vistula River or the remarkable conversion of the former Powiśle power station (Elektrownia Powiśle) from the beginning of the 20th century into a modern multi-purpose building combining retail, services and housing (in 2021, the project was awarded MIPIM Award in the Best multifunctional project category) with preserved historical (and historicizing) industrial elements. 

The next stop of the city tour was the Echo Investment & AFI Europe project in Towarowa Street, which represents a revitalization project on an area of over 200,000 sq m in the central part of the metropolis, on the site of the former Jupiter shopping centre. It will include five skyscrapers of a height of up to 150 m surrounded by a park. The office building should be completed by mid-2025 together with the park. The first residential building will follow by the end of 2025. The remaining green areas, including the reconstructed House of the Polish Word, will be open to the public by 2026. The entire project is to be completed by 2028.  

Skanska Group is building the Studio office complex between two underground stations (ONZ and Daszyńskiego), which is their latest project in Warsaw. Phase 1 (17,600 sq m Studio B) is completed, fully leased and recently sold to Stena Real Estate AB; phase 2 (Studio A) is under construction and will be completed next year. 

The next stop was the unique AFI Home rental housing project with fully equipped luxury apartments situated in the block between Złota and Żelazna Streets. Some of the apartments are located in the renovated historic Krongold housing block from the end of the 19th century, and others are part of a premium new building.

The Warsaw Property Tour of the city ended (both literally and figuratively) with a meeting held at the CMS international law office, which is located on the 42nd and 43rd floors of the Varso Tower. With 310 m, it is the tallest building in the European Union. The aim of the visit was not only to enjoy the views, but the participants also discussed the 25th anniversary of Poland, the Czech Republic and Hungary’ accession to NATO and the 20th anniversary of the admission of 10 new countries to the EU, including eight countries of Central and Eastern Europe, which enabled international companies to enter the Central and Eastern European region with confidence regarding security of their investments. As a result, goods, capital, services and people began to move freely throughout Europe and the West, opening up the potential of the CEE region.  

The half-day inspiring tour of Warsaw’s new construction ended with a pleasant evening cocktail and a banquet (the CEE Summit Anniversary Celebration Cocktail) held on the terrace of the 43rd floor of the Varso Tower, which offered breathtaking views of the city. 

CEE Summit: Investments are needed everywhere, but investors are picky 

Thursday’s conference at the now iconic InterContinental Hotel welcomed 215 participants from 18 countries (most of them were, of course, from Poland, but there were also guests from Austria, Belgium, Croatia, Germany, France, Sweden, Hong Kong, Romania and other countries).

In the introduction, The Poland Observer presented a film mapping the Polish real estate market and presented projects that are planned for 2025 and beyond. The opening speech was delivered by Michał Stępien, acting CEO at AFI Europe Poland, which was the main partner of the CEE Summit 2024. This was followed by speeches given by experts who dealt with the global context of geopolitical influences in the countries of Central and Eastern Europe and the connections with the war in Ukraine. Another important topic was the topic of ESG factors, which currently affect the valuation of real estate assets. This was then followed by panel discussions on the topic of global trends and regional dynamics, investment opportunities in the real estate market of Central and Eastern Europe, or investment needs and opportunities in the reconstruction of Ukraine. Representatives the Oradea Local Development Agency projected a short film and presented investment opportunities in their city. A long-discussed topic in Poland is the lack of legislation for the establishment of REIT, which could potentially transform the market. 

The afternoon was spent in the spirit of discussion in the sections of: Multifunctional use – offices, retail and housing in harmony; Warehouses and logistics; Residential sector; Why is the reconstruction of Ukraine important for the Central and Eastern European market; ESG in practice and Expected changes in the field of REIT in Poland. Subsequently, the participants were introduced the outputs and conclusions of the individual sections. During the breaks available between the individual programme blocks, the conference participants had the opportunity for informal discussions and networking.

At the end, the organizers summarized the findings from the day-long meeting of the CEE Summit. The history of the modern real estate market in the CEE region can be traced through investment deals that have marked the ebb and flow of various sectors, as well as the people and companies behind them. Stores always reflect the dynamics of the times – from huge new shopping centres and offices that were leased before the first construction pit was created, to the recent rise of the logistics sector and the liquidity gap. 

author:PhDr.Alena Krupauerova / Photo: The Poland Observer and the author

Richard Stephens, founder and editor of The Poland Observer and co-organizer of the event:

“The CEE Summit, which The Poland Observer co-organizes every year in Warsaw together with Real Asset Media, aims to connect the international real estate community with the real estate market in Central and Eastern Europe, show the opportunities in the region and bring new ideas, voices and perspectives. We have heard from investors from around Europe that they see the CEE region as an increasingly attractive destination for real estate investment, hedging against investments in the West, with huge growth and development potential. On a smaller scale, with The Warsaw Property Tour we want to show how fast and far the city of Warsaw has developed. Its reputation as an ugly duckling is long since passed, and now people are starting to realize how dynamic and active the city is.”

DELTA Group ČR acquired new premises in Prague

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DELTA Group, an international architectural, engineering and consulting company with an extensive portfolio of real estate services, opened a new office in Prague at the end of May. 

DELTA was founded in 1977 in Wels in Upper Austria and with more than 400 employees, they now operate in four countries – Austria, the Czech Republic, Slovakia and Ukraine. And it is the Czech Republic that represents one of DELTA’s longest international engagements. It has been operating here for over 30 years and has a very broad portfolio of services. 

Top projects in Prague as well as other parts of the Czech Republic

DELTA Group ČR is a pioneer in many areas of design and construction management and it is especially in the area of BIM implementation up to the preparation and coordination phase of construction projects that they built a rightly strong position. They also have a very good reputation in the Czech Republic in the field of project and construction professional management. Due to the growing number of development projects, the DELTA Group decided to expand offices for their Prague team. 

At the festive meeting held in the Marina Boatel in Libeň, Prague, they therefore presented the new premises in the DOCK IN THREE building, which were necessary due to the company’s successful expansion and the constantly increasing volume of development projects.

DELTA has participated in many international projects in the Czech Republic. The most recent ones include the completion of the Mobility Development Centre for the car manufacturer BMW Group in Sokolov. The most prestigious projects include project management for the new Vltava Philharmonic Orchestra in Prague. They also successfully coordinated the construction of the new Prague district DOCK IN in Libeň; now they are also working on partial phases of the residential-administrative project Hagibor Prague. Other important development projects that connect the DELTA Group with Prague are, for instance, the reconstruction of the historic VIA UNA building near Prašná brána in Na Příkopě Street, the construction of the Austrian Grammar School, and the reconstruction of the Andaz and Golden Crown hotels.  

The new architectural identity of Delta Pods Architects 

As of last year, the DELTA Group has strengthened their international architectural division. When represented by 160 architects, designers and specialists, they are now presented internationally under the Delta Pods Architects brand. At the meeting in Prague, Klaus Ransmayr emphasized their stronger focus on design and DELTA Group’s strong orientation towards sustainability through an integrated consultancy approach, which DELTA has been intensively pursuing for more than 10 years – in accordance with the DELTA Green Mission. 

Successful journey of the DELTA Ukraine team 

The DELTA team is also still active in Ukraine. As confirmed by Wolfgang Gomernik, his team is working intensively on the restoration of a part of the country affected by the war, and within the framework of their three branches in Kyiv, Lviv and Ivano-Frankivsk, they have been able to generate very successful development projects even in the last two years. For instance, the Prosthetics and Orthotics Centre in Lviv, completed and inaugurated in May, or the revitalization of the Promprylad.Renovation brownfield in Ivano-Frankivsk in the west of Ukraine. 

Stability, innovation, squareness 

The meeting also provided an opportunity to discuss the Czech development market. Erik Štefanovič, CEO at DELTA Group ČR and DELTA Group SK, commented on the journey undertaken by the Czech branch by saying: “This is our 31st year in the Czech development market. We bet on digitization, sustainability and a strong corporate culture. Holding on in a relatively turbulent development market for so many years and not losing the favour of our clients fills us with joy. But naturally also with a great responsibility in our approach for the next years. When looking back and being expected to briefly describe DELTA, I would probably use words like innovation, squareness, respect and courage. These are the basic characteristics by which the entire international DELTA Group of companies can be characterized.”

At the end of the festive event at Prague the boatel, Erik Štefanovič, together with Zbyňek Kovář and Iveta Bosáková, who is in charge of managing the Prague DELTA office, announced yet another festive meeting of the group, which is to be held in October and this time with the Slovak DELTA team in Bratislava. “This year, too, we are opening new modern offices there and will, once again, introduce new products in our group. DELTA Group SK stands out in our international group with its strong focus on architecture, but also digitalization and BIM design processes,” concluded Erik Štefanovič.

For more information see www.delta-group.cz a www.delta-pods.com.

Red./Photo: DELTA Group ČR archive

CTP opens another office building in Vlněna

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The Vlněna area connects Brno’s rich industrial past with cutting-edge 21st-century technologies. The premium design and high technical standards of Vlněna are attractive to both large companies looking to establish branches in Brno and innovative startups.

Vlněna is built to BREEAM standards, which respect a wide range of criteria from energy to environmental considerations. We were guided through the entire complex by Jan Hübner, CTP’s Construction Director.

Could you briefly introduce yourself?

I have been working as the head of construction for two and a half years, but I have spent a total of seven and a half years with CTP. I started in 2004 when CTP had 15 employees and two industrial zones; I spent five years there. Initially, I built industrial halls in Western Bohemia, where CTP was starting at that time. Later, I constructed office buildings in Ostrava and another in Brno on the Černovice terrace, so it was quite a broad range. Subsequently, I left and worked for ten years for the Slovak developer HB Reavis, five of which I was head of construction in Poland. Initially, there were about 15 of us, and when I left, there were almost 180. I had about 60 people in construction. Among other things, we built the tallest building in the European Union at the time, the 310-meter-high Varso Tower in Warsaw.

But you didn’t stay in Poland…

I got an offer to lead the HB Reavis branch in Hungary, where I spent three years. We were building on Vaci street, which is the main office street in Budapest, the largest office project Agora, about 60,000 sq m of rentable space.

So, you returned to your hometown Brno?

I came back to the Czech Republic, and after another two years, I agreed with Remon Vos to return to CTP. Although it was back to my hometown Brno, I am responsible for construction across the Czech Republic, from our westernmost project in Aš to our easternmost in Karviná, which is a bit more complicated.

That must be quite time-consuming.

My task is not only to manage projects but primarily to create a structure and system for about 70 people working under me in the Czech Republic. Additionally, we have external construction managers, occupational safety staff, and so on. We manage an annual construction budget of around CZK 10 billion and currently have about 40 projects under construction in the Czech Republic.

Where does CTP rank in office construction?

Surprisingly, we are now the largest office developer in the Czech Republic because we have the most square meters under construction, at least according to my information.

So, you primarily focus on this segment?

Definitely not, it’s our secondary focus; our primary focus is industrial.

We are in the Vlněna complex in Brno. Let’s recall the history of the area.

Vlněna is part of the original manufacturing area where yarn and wool were processed, dating back to the 18th century. Around the mid-19th century, Bochner’s factories were established here, and nearby is Bochner’s Palace, the factory’s headquarters, which we managed to preserve and reconstruct at considerable expense. The factory and the neo-renaissance palace were acquired by the Stiassni family after Edmund Bochner’s death in 1903. They ran the factory until 1938. They were Jewish, and when WWII broke out, they had to flee to the USA to escape the holocaust. After the war, the communists nationalized the entire area, and the national enterprise Vlněna was established here, which ceased production in 1997.

What state was the area in after production ceased?

Many of the buildings were in an extremely poor condition. CTP bought the area in 2007. It took some time to clarify the vision. The first building permit was obtained by the company, I believe, in 2016, the first building was built in 2018, and we have been gradually filling it since then.

Each era brings different challenges for developers. Initially, it was offices, then halls, followed by apartments, etc. Did you have a clear idea from the beginning of what would emerge here?

Vlněna still does not have its final form. Currently, we are constructing building I, which is a 60-meter-high office building. As architect Václav Hlaváček, the project’s spiritual father, says, it’s like a beacon. With its completion, the second phase of Vlněna will be finished. The third phase begins on the other side, where we are now preparing the foundation slab. From the beginning, it was planned that the majority of the construction would be offices, but in the third phase, apartments are also planned. The third phase includes an office building named K, covering 8,000 sq m, and around 255 apartments ranging from studios to three-bedroom units, and one or two four-bedroom units. However, from the beginning, a complex was designed to function as a whole. So, one of the most important parts is the ground floor, where services, retail, canteen, café, small shops, gym – things we think people need here – are integrated. One consideration was to provide better sports facilities, so in the third phase, we are building a 25-meter pool and a space for a yoga centre. We are also considering other services, such as an optical store, etc.

Will the apartments be for sale?

We will keep everything and only lease it out. Even in the long term, we have retained everything we built. We have never sold anything, which is a significant advantage. For Brno, it’s a unique complex. All buildings CTP has built in its 26-year existence remain in its ownership, even though we must gradually renovate them – mainly for energy savings.

Do the employees of companies in Vlněna have the opportunity to live on-site?

The apartments will be completed in early 2026, and the intention is for local companies to rent them. We expect and believe that a large portion of the new apartments will be rented long-term by these companies.

So, another bonus Vlněna will offer?

Exactly, it’s one of the services we will offer to office space tenants. Tenants will also have access to the swimming pool. We are also working a lot with the local community in Vlněna. We want to offer future apartment tenants a space where they can meet, and perhaps a discounted entrance to our coworking space Clubco, providing study or work areas. Vlněna is a unique project in Brno in many ways because there is nothing similar here.

Are you inspired by international projects?

Definitely. When I worked at HB Reavis, we knew that trends originating in London would reach us in about three years. Green buildings or BREEAM were addressed there a few years before becoming standard in the Czech Republic. Remon Vos, the founder of CTP, is someone who looks ahead and thinks about the future. For example, he doesn’t like parking spaces, saying, what will we do with them in five to ten years when everyone stops driving cars because it will be too expensive? Now, in two office projects, we are figuring out how to design buildings so that parking spaces can be repurposed in a few years. It’s great to see a bit further ahead.

What about residential projects?

Remon, architect Václav Hlaváček, and others flew to Amsterdam and The Hague to see their community housing. It works there, but not so much here yet. People here are more conservative, preferring home ownership. However, the trend will likely move towards Western Europe, given the cost of housing. The current 82–85% of people owning homes will decrease in proportion to those living in rentals. It’s good to anticipate this.

Is it about setting a certain vision?

Yes. There’s no point in reinventing the wheel; it’s necessary to verify and see how it works. Then we can implement it in the Czech Republic. Of course, we will make mistakes, but we can avoid most of them.

Do you have all spaces rented in Vlněna, or are you looking for tenants?

The buildings already standing are about 97% occupied. We are constructing the office building I, which will be completed in the second half of the year, and we are about halfway or slightly above halfway leased. We certainly don’t have to worry about not achieving full occupancy. Vlněna has an excellent location, essentially in the very centre of Brno with excellent transport connections.

What modern technologies are you equipping the office buildings with?

Building I in Vlněna will be one of the most modern on the market. An important part is the measurement and regulation system, which we created in collaboration with several companies. We were figuring out how the building should function in a few years. You need a quality central system that future technologies can connect to. Now there are various air quality sensors, LED lighting, etc., which didn’t exist ten years ago. In a few years, there will be technologies we can only dream of now. But the central system must be robust enough to accommodate them in the future. For example, we worked with Compactive on different types of lighting that would mimic natural light changes throughout the day. In the morning, it has different intensity and colour than in the afternoon, and the human body reacts to that. We worked with Compactive and their experts on how to design and implement these systems. Something like this will be installed in the lobby, and we can offer it to clients in their spaces. Measurement and regulation essentially need robust hardware as a base, meaning the system bus, where future types of light sensors can be added, and other elements can be connected, which we do not even know yet. The software part will also evolve. And since we own and will continue to own these buildings, we need to be prepared for future developments.

Progress cannot be stopped, but innovations are moving at a fast pace.

Definitely. Twenty years ago, no one installed LED lighting in industrial buildings because it was too expensive. Halogen lights, perhaps fluorescent lights, were installed. Now we have almost 100% of our buildings with LED lighting. We have gradually replaced the lights in all the buildings we own over the last three years. It was a significant project, it cost a lot of money, but it moves the buildings forward, reducing their energy consumption. The same applies to offices. We need robust basic systems that we will modify and advance further.

Do you have other similar cases?

We are dealing with something similar on the Černovice terrace, where we have a building with Honeywell as the largest tenant. We are reconstructing a 15-year-old building, changing measurement and regulation, adding CO2 sensors. We aim to get the energy label from category C to A. It is a huge, complicated project that we have been working on for the last year. We have been building it for half a year and will continue until the end of the year, but it is something we will face on a large part of the portfolio. So, in addition to construction itself, there are also many reconstructions.

What are you most proud of in the Vlněna area?

I think the most visible part is the beautiful greenery in the parter between the buildings. As you can see, there are many benches where people sit. We are very proud of that. In the third phase, we will continue with greenery, which should be more ‘natural’ – trees, grass, a pond, etc. We will, of course, complement the retail. As I mentioned, we are trying to communicate with clients, figuring out what would interest them and what they need to further improve the environment for work and life. For example, a year ago, clients requested a kindergarten, and now there are two children’s groups for about 48 children, and we built a playground for them. We are trying to work in a way that makes people here happy. I believe that if people are happy, companies will be satisfied, and that is what matters. If everything works well, Vlněna will not have to worry about the future.

Arnošt Wagner

Photo: Bohdan Štoček and CTP archive