The Ministry of Industry and Trade of the Czech Republic has launched a second rent-support programme for businesses whose operations were stopped or significantly limited due to the coronavirus-related measures effective from 22 October 2020. This programme follows the first rent-support programme from earlier this year, on which we reported here.
Tenants can apply for rent subsidies via a system accessible from the Ministry of Industry and Trade’s website https://aisportal.mpo.cz/AISPortal/default until 21 January 2021.
Under the programme, any tenant whose business has been affected by coronavirus-related measures is eligible to rent subsidies from the state if:
The state will provide the tenant 50% of the rent from 1 July to 30 September 2020 up to up to CZK 10 million per tenant. However, the total subsidy for the entire country is capped at approximately CZK 3 billion. Similarly to the first Covid-Rent programme, the applications will be dealt on first-come-first-served basis. In contrast with the previous programme, no rent discount is required from the landlords.
The tenant’s application for the subsidy must include an affidavit that the tenant:
has been restricted in its business in the leased premises and qualifies for the subsidy;
is not in liquidation or bankruptcy;
waives any further rights it might have against the state as a result of pandemic-related restrictions.
The tenant will also have to submit proof that it paid:
full rent for at least two consecutive months between 1 July 2019 and 30 June 2020;
at least 50% of the rent for July, August and September 2020.
The tenant will further need to show an affidavit from the landlord confirming:
There is no legal entitlement to receive the subsidy.
For more information on the Covid-Rent programme, contact your regular CMS advisor or local CMS experts.