A change of heart
The forum in Cannes was a great chance to present the largest modernization scheme in Central Europe, but the scale of the project could cause some hiccups
At this year's Mipim real-estate forum in Cannes, Katowice's delegation seemed to be on a mission - to try and change investors' perception towards Katowice and draw attention to the fact that the Silesian agglomeration consists of other investment-worthy cities besides Katowice, such as Gliwice, Ruda Śląska, Chorzów and others.
The Silesian conurbation, with its capital in Katowice, is often compared to the Ruhr area in Germany, because both regions sport reputations as industrial belts that have undergone some positive changes and worked to develop their economies. Moreover, the Katowice region's 2.7 million inhabitants - the largest contiguous settlement in Central Europe - constitute a huge potential workforce for investors and even more consumers for their goods and services.
Growing potential
Katowice and its neighbors' plan to join forces in the next few years, creating a single metropolitan area, is only going to increase the region's attractiveness for investors - the new Katowice city center has the potential to become the center of the fifth-biggest metropolis in Europe.
"The economic potential of Katowice is strongly driven by availability and resources of its qualified labor force," said Agnieszka Piszczek, an investor-assistance specialist with Metropolis Commercial Real Estate, a company that specializes in advisory services in the Silesia region. "Almost 200,000 people study here and 50,000 out of that number study economics."
Piszczek highlighted the fact that 392 foreign direct investments are located in the region. Among 158 investors from 22 countries, German capital is best represented in the region, followed by capital from the US, Italy, the Netherlands and France. Piszczek said that all those investors are also welcome to participate in the reconstruction and recreation of Katowice's city center, which represents a huge investment opportunity.
Regional facelift
Visitors to Katowice's stand at Mipim were immediately confronted by a scale model depicting what the reconstructed city center could look like. The concept presented a mix of public spaces and focused on two main points: the Spodek center - a sports, trade-show and entertainment facility - and the city's market square (rynek). Today these two characteristic places are connected by Al. Korfantego, a stretch riddled with underdeveloped spaces, buildings erected in the 1970s and devoid of frontage.
"The winning project for the reconstruction of the city center [will be] an enormous investment. I am convinced that this is the only way for Katowice to pass from being just one of the many Polish cities to becoming a big metropolis in the center of a quickly developing region of the European Union," said Piotr Uszok, the Mayor of Katowice.
"The town authorities are determined to carry out all the necessary procedures efficiently. During the last few years a huge amount of work was done in order to adapt the infrastructure to [facilitate] the realization of such an ambitious project. We would like to continue with the designed changes," he added.
Katowice's new heart
The rejuvenated Al. Korfantego would constitute a prime artery in the city, while at the same time creating more public space - it would offer a "city lounge" and glass-roofed pedestrian passage. At street level, the area would house shops, cafes and galleries.
Katowice's reconstruction will cover a 400-ha area in the very heart of the city center and will thus constitute the biggest operation of its kind in Central Europe. Thanks to all the reconstruction and construction work, the heart of the agglomeration will become a focal point for business, commercial and service activities, as well as an attractive spot for housing developers.
The total amount of office, residential and commercial space within the new development could come to around 140,000 sqm. According to Katowice's authorities, the demand of investors for new office space is increasing and in the next three years will reach a level of 200,000 sqm.
But the reconstruction does not mean that older buildings which are of historical or cultural importance for Katowice's inhabitants will be demolished. Refurbishment is planned for a number of sites and Konior Studio architectural studio - the winner of a design contest Katowice ran in conjunction with the project - emphasizes the significance of this kind of "small architecture" for the city's image.
"We will preserve buildings of the past, even the newest ones - we won't repeat the mistakes of previous generations," said Tomasz Konior, head of Konior Studio. "I would like Katowice to be a modern city for people, [but also] deriving from tradition, culture and from the best canons."
Ready to invest?
Developers have already expressed interest in Katowice's offer and the development of its city center. The region's large population is also a draw and moreover, investors highlight Silesia's geographical location as a further advantage.
"With its proximity to Germany and location not too far from Warsaw and Kraków, it is very conveniently situated." said Sven von der Heyden, chairman of Von der Heyden Group.
Von der Heyden also said that another advantage and something that could bring more business to the Silesia region is the current development of Katowice's airport, which has the potential to become the second or third largest airport in Poland.
A dearth of zoning plans covering the area could hinder the pace of investment in Katowice. Metropolis' Piszczek, however, suggests that the lack could actually help foreign developers, as the project could be facilitated by the issuing of building permits, based on the so-called "development provisions."
"The city authorities are very dedicated to this project and if some foreign investors would like to build a different building, for example a taller one ... the development provisions would actually accommodate a taller building," said Piszczek. "Such a change would not be possible under a zoning plan, or would take over a year to implement."
