Czech PM: Prague close to agreeing on land swaps, other terms for new Letňany gov’t quarter

Prague City Hall and the government are close to agreeing on terms towards build a new government quarter in the Letňany district, Prime Minister Andrej Babiš said following a meeting with Mayor Zdeněk Hřib on Thursday.

Babiš argues that locating certain ministries and other government organs from the city centre to Letňany would save taxpayers some 378 million crowns annually in rent.

In exchange, Prague City Hall has asked for land swaps and for the government to finance and finish construction on an outer ring-road around the Czech capital, and build a new hospital, among other things.

Babiš told reporters that the state hopes to sign a memorandum with the municipality by mid-September.