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South Poland: BPCC Business Briefing with the Katowice Mayor, Piotr Uszok

Investment opportunities in Katowice were the subject of the BPCC Business Briefing with Katowice Mayor Piotr Uszok on 1st June. FDI to date in Katowice stands at 1 bln euro and a significant amount of this has been made by BPCC members.

    The meeting was held in the Almi Café, which is housed in the new Silesia City Centre retail development, built by BPCC Member of the Year, Trigranit.

Katowice – an investor’s paradise?

    Katowice is the capital and central administrative area of the massive Katowice conurbation, one of the largest conurbations in Europe with a population of some 3 million people within a 40 km radius of Katowice. The city’s investment strategy is focussed on communications infrastructure, building on the city’s key location at the intersection of A4 and A1 highways joining East-West and North-South. Real estate prices are still low compared to other Polish cities and as a relatively new city, the very centre of the city is open to new development projects. Mayor Uszok’s grip on power is another investment incentive. Mayor for eight years, he carries a strong majority in the City Council. The benefit to investors is in quick decision-making by Polish standards and a level of municipal support in supporting infrastructure.

Plans for tomorrow

    Mayor Uszok detailed planned changes to the area in and around Katowice City Centre and opportunities for private investors. He emphasised his belief in private sector involvement as the best means of achieving results.

    Several large projects have recently been completed and others are under way. Presently the main route cutting the city from the West to the East is under construction and work is set to begin on the South-North axis.

Katowice as a residential area?

    A large area adjacent to the very centre of Katowice is set aside for residential development, linked to other parts of the conurbation by tram and road. Mayor Uszok confirmed the interest of several international developers in the project adding that contrary to belief the city has the second highest quota of green areas among large Polish cities. Real estate prices are significantly lower than those found in the neighbouring cities of Krakow and Wrocław.

Towards “Greater Katowice”

    The Katowice conurbation is made up of 16 towns. Mayor Uszok unveiled plans to establish a strategic authority for the conurbation, a Greater Katowice along the lines of similar metropolitan strategic authorities found in the UK. The new strategic authority will be primarily responsible for investment, promotion and communications infrastructure. Legal requirements to establish the new body are currently under review by the Voivode.

PKP – a difficult partner?

    A lively discussion followed Mr. Uszok’s address focussed on the Mayor’s views of the Public Private Partnership model. Reference was made to the controversial tender for refurbishment of Katowice railway station on land owned by PKP – national Polish railways. Last year, the tender was made void by the PKP management on the eve of its approval by the Minister of Transportation. Mayor Uszok made clear that a prompt resolution of the issue is of great importance as the project includes not only the railway station itself and another mall in the city centre but also the most important multi-communication junction in the heart of the city.

Another term? Who knows...

    When asked about a possibility of running in the approaching self-government elections for another term, Mr Uszok didn’t rule himself out. He was also careful not to rule himself out of a role in a future strategic authority. Guests at the briefing will feel that this is good news when it comes to private sector participation in municipal development.