Construction and development · Czechia and Slovakia
Development project financing
Are you funding a development through a loan, bonds or contributions from several investors? The legal side of development financing: loan and security documents, bond issues, investor arrangements and project SPVs in Czechia and Slovakia.
What we'll do for you
Select an item to see the details.
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Project structure and SPV
Structuring and incorporating the project company and arranging group relationships in Czechia and Slovakia.
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Loan documentation
Review of the loan agreement and drawdown conditions, with negotiations on changes the bank is willing to make.
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Security documentation
Security over real estate and ownership interests, guarantees and other collateral, including entries in the relevant registers.
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Bond issue
Bond terms and related documentation in Czechia and Slovakia, coordinated with the project's security and loan.
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Investor arrangements
Investment agreements, shareholder loans and agreements between the project's shareholders.
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Support during drawdown
Fulfilment of conditions precedent, amendments and ongoing communication with the bank during construction.
Deliverablecomplete loan, security and, where applicable, bond issue documentation for the project
How it works
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- Structure consultationday 0
We discuss the project, planned funding sources and timetable and propose the legal structure and work scope.
- Documentation
We prepare or review loan, security and any bond issue documentation in parts aligned with the project stages.
- Negotiations
We negotiate with the bank and investors on your behalf or alongside you. You receive a clear recommendation on every disputed condition.
- Signing and drawdown
We complete the conditions precedent and security registrations so the first drawdown takes place on schedule.
Financing is the most legally demanding part of a development project. The bank usually prepares the documents — for its own benefit. The developer signs hundreds of pages of drawdown conditions, representations and security arrangements that will accompany the project for years. Our job is to read them from your perspective, explain their practical meaning and negotiate changes where it makes sense.
Security rarely ends with a single security agreement. Security over land and ownership interests, intragroup guarantees, restricted payment arrangements and subordination of other funding sources must fit together. When a bond issue or investor money is added to the loan, every additional source changes the position of the others. We structure the whole, not isolated agreements.
For groups with projects in Czechia and Slovakia, we cover both countries from one place. We are registered with the Czech and Slovak Bar Associations, so we prepare loan, security and bond issue documents under both legal systems in a coordinated way, without friction between two firms or the inconsistencies that divided work can create.
No-obligation enquiry
Ready to start?
Send us an enquiry. We reply within 24 hours with a price confirmation and next steps. The first 30-minute consultation is free and commits you to nothing.
- 1Send your enquiry via this form
- 2Within 24 h you get a price confirmation and plan
- 3We start work only after your approval
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What clients ask
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Do you act for the developer or the bank?
The developer. Loan documentation is written for the bank and its protection — our role is to explain what it means in practice and negotiate the terms that can be negotiated, particularly drawdown, covenants and security.
When should we involve you?
Ideally before signing the term sheet. Many security and drawdown parameters are fixed there and become difficult to change later. We can, however, join at any project stage.
Can bank lending be combined with bonds?
Yes, this is a common model. The key is coordinating security and creditor ranking — banks usually require priority. We prepare the bond documentation so it does not conflict with the loan.
The project is in Czechia and the group in Slovakia — do we need two firms?
No. We are registered with both Bar Associations, so we prepare the documentation for both countries in a coordinated way from one place, without handovers between firms or inconsistencies between documents.
How is a multi-year project priced?
We divide the scope into stages — structure, documentation, negotiations and drawdown — and price each in advance. You pay for work actually done and always know what comes next.
Legal Q&A
Common questions on this topic
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Can a contractor charge more than the budget for additional works?
It depends on how the price is agreed. If it is fixed or set by a budget, more demanding work does not itself change the price. If the contract states that the budget does not guarantee completeness, the contractor may seek a reasonable increase for unforeseeable activities, but must notify them without undue delay or lose the claim. An increase exceeding 10 % allows the employer to withdraw from the contract.
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Can we give investors a bonus return linked to a project's success?
A bond with a fixed or determinable floating return used to finance the company's own operations or project is not collective investment: the investor is entitled to principal and predetermined interest. However, if an additional return is payable upon certain business results, or the return can be reduced or withheld depending on those results, the criterion linking returns to asset value is met. A bonus return therefore changes the structure's legal classification and is not merely a marketing detail.
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The bank requires a building under construction to be registered. How does this work?
A building under construction is recorded in connection with the creation, change or termination of a right to it, typically for bank security or a transfer. Under § 46(3), the expert report must clearly establish the structural and functional layout of the first above-ground storey. The relevant permitting document under the new or transitional building-law regime must also be submitted. The building’s initial entry must be distinguished from constitutive registration of a contractual mortgage; waiting for occupancy approval is not itself a prerequisite.
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Further reading
Construction is no longer an unregulated trade: what a building company needs today
Since 1 April 2025, constructing buildings requires a trade authorisation subject to professional qualifications. Companies holding the former unregulated construction trade have until 31 March 2029; companies established after 1 April 2025 have no transition period.
Read more →
The construction site diary as evidence: missing entries are hard to prove years later
In a dispute over delay or defects, the site diary is often the only contemporaneous record. Construction Act No. 25/2025 Coll. specifies who keeps it and who may make entries; its evidential value depends on consistent records and the contract.
Read more →
Work statements, interim invoices and retention: construction payments depend on the contract
When a contractor gets paid depends on the contract’s billing arrangements: statements of completed work, approval and retention. Set them up so payments continue throughout construction and the first disagreement does not stop cash flow.
Read more →