Spectator on facebook

Spectator on facebook

INDUSTRIAL SPACE

Brownfield projects increasing

JUST a year ago, the Slovak Investment and Trade Development Agency (SARIO) didn't hesitate when asked whether greenfield or brownfield investment projects prevailed in Slovakia.
"Almost all the projects SARIO is currently working on are greenfield," it stated in interviews with The Slovak Spectator.

Existing industrial premises are becoming more appealing to investors as fresh construction sites become more scarce.
photo: TASR

JUST a year ago, the Slovak Investment and Trade Development Agency (SARIO) didn't hesitate when asked whether greenfield or brownfield investment projects prevailed in Slovakia.

"Almost all the projects SARIO is currently working on are greenfield," it stated in interviews with The Slovak Spectator.

But foreign investors have recently been warming to the idea of using existing production and warehouse premises, viewing these projects, known as brownfields, as a good means of investing in certain regions.

"During 2005, SARIO concluded 48 investment projects, of which 29 were brownfield, 17 were greenfield and 2 were joint-ventures," SARIO spokesman Michal Novota wrote in a short memo to The Slovak Spectator.

Clearly, investors still prefer greenfield projects for the flexibility of tailoring premises to their specific needs, but fresh construction sites are becoming scarce in the country, making brownfield projects a necessity.

To help investors find suitable production halls and warehouses, SARIO recently launched a database of land and property available at www.sario.sk/ ?databaza-nehnutelnosti, which lists real estate that municipalities want to sell.

The process pleases mainly regional governments and state institutions that prefer to fill and reconstruct traditional industrial buildings near cities and towns that were emptied after their previous producers left or went bankrupt.

Based on a cabinet regulation, the regions should respect the principle of reconstruction and renewal of existing industrial and construction areas when planning regional development.

However, the process is often not that easy.

For example, Trnava region spokesman Ivan Krajčovič said that the Trnava region has not yet felt the results of the new trend.

"From our experience of evaluating the regional plans of towns and cities in the Trnava region, industrial and business greenfield projects prevail, while interest in brownfield investment is minimal," Krajčovič said.

Top stories

Kysuce highway stalled due to missing money

Money is missing to finish the section of highway between Žilina and Poland, stopping the completion of the D3 highway project.

Road-blocking protest in Povina, Kysuce, demanding completion of highway bypass - February 16.

Slovak film won Generation Kplus section at Berlinale

The film Little Harbour that won the Crystal Bear – beating movies from many other countries - is the work of (mostly) Slovak women.

Director of Little Harbour, Iveta Grófová, with the Cristal Bear

State insulation falls behind expectations, ministry widens support

Only 134 homeowners in the first round and 62 in the second applied for a subsidy via the insulation programme.

Only 134 homeowners in the first round and 62 in the second applied for a subsidy via the state insulation programme. Illustration stock photo

US philosopher with Slovak roots, Michael Novak, dies

The man who advised politicians and even presidents Gerald Ford and James Carter died on February 17, aged 83.

Michael Novak