Wednesday, 15 October 2025
The Office for Government Representation in Property Affairs (ÚZSVM) has completed the auction of Broadway Palace, a landmark functionalist building in central Prague, for CZK 878 million, marking the agency’s most profitable sale to date.
The auction concluded with a single valid bid submitted just 17 minutes before the deadline. Two parties were registered for the ninth round of the electronic sale, but only one entered a formal offer. According to ÚZSVM spokesperson Tereza Frančová, the winning bidder is a Prague-based legal entity, though its name has not been publicly disclosed.
Under existing agreements, the current tenant of Broadway Palace retains a pre-emptive right to purchase the property. The state office will therefore present the auction price to the tenant, who has three months to decide whether to match the offer. If the tenant declines, the sale will proceed to the auction winner.
ÚZSVM took control of Broadway Palace in 2016 after it was transferred from the Railway Infrastructure Administration (now the Railway Administration). The property has been on offer since 2021, as no state institutions expressed interest in using it. Previous auction rounds also attracted only single bidders, but none submitted offers at the starting price. The tenant was then repeatedly offered the property at the auction minimum but declined to buy.
Designed by architects Bohumír Kozák and Antonín Černý, the Broadway Palace was completed in the 1930s and stands between Na Příkopě and Celetná streets, near Republic Square. The building features three interconnected wings and is considered one of the largest examples of functionalist architecture in Prague’s historic centre. Originally built for Italian insurance companies, the complex included residential units and, since 1938, a cinema equipped with advanced projection and sound technology. It now houses the Broadway Theatre and various commercial tenants.
The CZK 878 million sale surpasses the office’s previous record from 2015, when ÚZSVM sold a former monastery complex at Republic Square for CZK 790 million. The second-highest sale was recorded in March 2025, with the U Hybernů House in Prague sold for CZK 447 million.
The successful completion of the Broadway Palace auction underscores the strong market demand for prime, centrally located historic properties in Prague, even amid tightening economic conditions.
Source: CTK
