The city of Kielce has a constantly growing potential for the development of the office sector: 20,000 students, well-developed metropolitan functions, and companies that have been operating for years make a favorable climate for investment. The favor of the investors of Mayor Bogdan Wenta, who considers good contacts with entrepreneurs as a priority of his local government activity, is not without significance. An expression of this is his proposal for resolutions on real estate tax exemptions for newly constructed office and production buildings, which were adopted by the Kielce City Council.
During the session of the City Council of Kielce on February 11 this year, Kielce councilors adopted a number of resolutions dedicated to helping entrepreneurs operating here or planning to start business in Kielce.
The resolution on the exemption from property tax for the initial investment in the field of newly constructed office buildings was a response to the trend and expectations of investors visible throughout Poland. It is worth paying attention to this act of local law, because it is an important progress in creating economic development in Kielce.
- In this way, we tried to encourage developers and construction companies to refer to this resolution and take advantage of tax exemptions under the real estate tax - says Bogdan Wenta, Mayor of Kielce.
The adoption of the resolution will enable entrepreneurs carrying out initial investments to obtain real estate tax exemption for a maximum period of 3 years. The resolution introduces a real estate tax exemption for newly constructed buildings with a usable area of at least 4,000 m2, related to business activities, where at least 80% of the usable area will be high-standard office space.
As emphasized by the Mayor of Kielce, Bogdan Wenta - Companies from the modern business services sector choose only attractive locations in terms of office space, creating high-quality jobs, which in the long run translates into the image of a city open to investors, also from the IT and BPO sectors. The real estate tax exemption for newly built office spaces is a clear sign for these entities, and for developers, that Kielce wants to be at the forefront of cities with top-class office space and attracting the modern business services sector.
- This is extremely important because the outsourcing industry is vitally interested in expansion in regional cities, and the key factor is access to ready-made office spaces ensuring IT security and freedom of space arrangement, giving the company the opportunity to develop in the future - continues Mayor Wenta.
This is an extremely important step for a still developing city such as Kielce, where human capital and competitive rental prices are also a powerful bargaining chip.
Tax reliefs for offices - what else?
A particularly important document is also the adopted resolution on real estate tax exemption for newly constructed buildings or their parts and structures related to business activity in the field of production.
The draft resolution introduces a real estate tax exemption for newly constructed buildings or its parts and structures related to business activities in the field of production, constituting an initial investment, located in the Kielce. The adoption of the resolution will enable entrepreneurs carrying out initial investments to obtain real estate tax exemption for a maximum period of 3 years.
The resolution adopted at the February session is a continuation of the tax policy adopted by the City of Kielce, aimed at encouraging companies already operating on the Kielce market to make reinvestments here, as well as attracting domestic and foreign investors to locate their branches in Kielce.
New office and service center
Recently, a decision was also made to develop plans for the last large, available investment area in the city. It is about 65 hectares in total between the S74 expressway, the eastern border of the city and green areas excluded from development.
The Mayor's decision and the formation of the team were crucial. Most importantly, there is a real chance that we will soon get to know the route of Kielce's eastern bypass. It is extremely important to provide communication services in this area. The vast majority of the area in question is located in zone "C" of the Kielce Protected Landscape Area. This means that in the areas intended for development there are quite serious restrictions resulting from the provisions that protect the natural and landscape values. The plan is to include the area around the existing office buildings and the existing plan for the university campus which is adjacent to the grounds. The city planners therefore decided that it would be best to develop a concept for the entire area of 65 hectares. As a result, the communication system and media distribution will be more coherent. The city decided to make an unusual move: it commissioned an external company to develop a concept for the development of such a large area.
The concept will significantly facilitate further work on the spatial development plan. Metropolitan services, office buildings and areas will be created, e.g. for cultural units and research centers. At the same time, the city does not want to allow a situation where in the area where one function dominates, life dies when the office is finished. Therefore, it is assumed that approx. 15 percent. residential buildings to complement the entire area with this function.
Green roofs and retention will play a key role in the new vision of the area
The use of blue and green infrastructure is also to be important when creating a spatial development plan. It is about green roofs, enabling the cultivation of plants on them and retention, i.e. the collection of rainwater, which is a problem with too much development of green areas. In general, the entire development will give the impression of an area with a lot of greenery.
- We definitely want the most perfect project to be created, taking into account nature protection - announced Mayor Wenta.During the session of the City Council of Kielce on February 11 this year, Kielce councilors adopted a number of resolutions dedicated to helping entrepreneurs operating here or planning to start business in Kielce.
The resolution on the exemption from property tax for the initial investment in the field of newly constructed office buildings was a response to the trend and expectations of investors visible throughout Poland. It is worth paying attention to this act of local law, because it is an important progress in creating economic development in Kielce.
- In this way, we tried to encourage developers and construction companies to refer to this resolution and take advantage of tax exemptions under the real estate tax - says Bogdan Wenta, Mayor of Kielce.
The adoption of the resolution will enable entrepreneurs carrying out initial investments to obtain real estate tax exemption for a maximum period of 3 years. The resolution introduces a real estate tax exemption for newly constructed buildings with a usable area of at least 4,000 m2, related to business activities, where at least 80% of the usable area will be high-standard office space.
As emphasized by the Mayor of Kielce, Bogdan Wenta - Companies from the modern business services sector choose only attractive locations in terms of office space, creating high-quality jobs, which in the long run translates into the image of a city open to investors, also from the IT and BPO sectors. The real estate tax exemption for newly built office spaces is a clear sign for these entities, and for developers, that Kielce wants to be at the forefront of cities with top-class office space and attracting the modern business services sector.
- This is extremely important because the outsourcing industry is vitally interested in expansion in regional cities, and the key factor is access to ready-made office spaces ensuring IT security and freedom of space arrangement, giving the company the opportunity to develop in the future - continues Mayor Wenta.
This is an extremely important step for a still developing city such as Kielce, where human capital and competitive rental prices are also a powerful bargaining chip.
Tax reliefs for offices - what else?
A particularly important document is also the adopted resolution on real estate tax exemption for newly constructed buildings or their parts and structures related to business activity in the field of production.
The draft resolution introduces a real estate tax exemption for newly constructed buildings or its parts and structures related to business activities in the field of production, constituting an initial investment, located in the Kielce. The adoption of the resolution will enable entrepreneurs carrying out initial investments to obtain real estate tax exemption for a maximum period of 3 years.
The resolution adopted at the February session is a continuation of the tax policy adopted by the City of Kielce, aimed at encouraging companies already operating on the Kielce market to make reinvestments here, as well as attracting domestic and foreign investors to locate their branches in Kielce.
New office and service center
Recently, a decision was also made to develop plans for the last large, available investment area in the city. It is about 65 hectares in total between the S74 expressway, the eastern border of the city and green areas excluded from development.
The Mayor's decision and the formation of the team were crucial. Most importantly, there is a real chance that we will soon get to know the route of Kielce's eastern bypass. It is extremely important to provide communication services in this area. The vast majority of the area in question is located in zone "C" of the Kielce Protected Landscape Area. This means that in the areas intended for development there are quite serious restrictions resulting from the provisions that protect the natural and landscape values. The plan is to include the area around the existing office buildings and the existing plan for the university campus which is adjacent to the grounds. The city planners therefore decided that it would be best to develop a concept for the entire area of 65 hectares. As a result, the communication system and media distribution will be more coherent. The city decided to make an unusual move: it commissioned an external company to develop a concept for the development of such a large area.
The concept will significantly facilitate further work on the spatial development plan. Metropolitan services, office buildings and areas will be created, e.g. for cultural units and research centers. At the same time, the city does not want to allow a situation where in the area where one function dominates, life dies when the office is finished. Therefore, it is assumed that approx. 15 percent. residential buildings to complement the entire area with this function.
Green roofs and retention will play a key role in the new vision of the area
The use of blue and green infrastructure is also to be important when creating a spatial development plan. It is about green roofs, enabling the cultivation of plants on them and retention, i.e. the collection of rainwater, which is a problem with too much development of green areas. In general, the entire development will give the impression of an area with a lot of greenery.