Some Prague town halls have approved rent increases | Company | News | Prague Gossip

Some Prague town halls have approved rent increases | Company | News | Prague Gossip
Some Prague town halls have approved rent increases | Company | News | Prague Gossip

Some of Prague’s town halls have already approved this year’s rent increases in apartments and non-residential premises. Most often, rents increased by average inflation. New prices are charged, for example, in the ninth or tenth city district, the town halls of Prague 8 and 14 have yet to decide on them. Spokespersons of the addressed town halls informed about it. Non-residential premises and apartments are entrusted to the administration of the municipality to which they belong. For the whole of last year, the average rate of inflation was 10.7 percent.

The rent increase in Prague 1 applies to all contracts with an inflation clause. Most contracts have a stated indexation of 6.5 percent and a few have a ceiling of four percent. “The rest of the contracts have a consumer price index of 10.7 percent. The Council approved that even these contracts, or rents, will increase by only 6.5 percent,” the spokeswoman said Karolina Šnejdarová.

In previous years, the management of Prague 2 did not increase the rent due to the covid-19 pandemic and the energy crisis. “This year, the councilors took into account the constantly rising prices of materials and construction work and the need to finance repairs and renovations of the housing and non-housing stock. Nevertheless, Prague 2 will not use the annual rate of inflation to its full extent, and will apply ten percent rental valorization in residential and non-residential premises. the spokeswoman said Andrea Zoulová.

In the case of apartments for which Prague 6 has a contract for an indefinite period and there is no inflation clause in the contract, it increased the rent by 20 percent from January 1. “For apartments where there is a contract with an inflation clause, we increase by the rate of inflation, i.e. by 10.7 percent. In the case of non-residential units, the district council will still discuss a possible increase by inflation, or by another amount,” the spokesman said Marek Zeman.

Prague 7 will also increase the rent by inflation. The reason is the increase in the prices of works and materials in the construction industry. “We will apply the normal valuation to apartments with an inflation clause and also to non-residential premises with a lease agreement for an indefinite period,” the spokesman said Martin Vokuš. The town hall will continue to help people who get into trouble and the cost of housing is beyond their means. For non-residential premises, the rent will increase by 6.5 percent.

Rents for residential and non-residential premises in Prague 13 will also be increased by the average rate of inflation for the past year.

The rents have already been increased by the town halls of Prague 4 and 9. Rents in municipal apartments and non-residential premises in the fourth city district will increase this year by inflation, i.e. by 10.7 percent. Last year, the town hall increased the rent by half of the then inflation. Prague 9 also increased by inflation from January 1, in non-residential premises. “He will not increase rents in apartments,” the spokeswoman said Marie Kurkova. Since the beginning of this year, tenants of municipal apartments with an indefinite contract have also been paying more in Prague 10.

Its management has not yet decided whether rents will increase in Prague 5. The town hall has an inflation clause in the rental contracts, which allows the rent to be increased by inflation, starting on July 1 of the given year. “In the case of apartments, in previous years, decisions on this matter were usually made in March or April,” the spokesman said David Stáhlavsky.

There is no clarity about a possible rent increase in Prague 8, 12 or 14. “Although it was already discussed at the property committee, it is still awaiting discussion at the finance committee,” said the spokesperson of Prague 8 Martin Šalek.

Prague 3 City Hall raised commercial rents by roughly 20 percent last year. The measure concerns about 1,200 households, when the rent for most of them rose from 115 to 137 CZK per square meter. “We invest the funds obtained from the rent in the maintenance and repairs of the housing stock. With this step, the legal limit for rent increases for the next three years was practically exhausted.” the spokesman said Jiří Hannich.

The article is in Czech


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