Innovation Center Promprylad.Renovation

Period of implementation of the project:

Launch of innovation center 2016-2023, pilot project 06.2017-05.2018

Challenge:

Promprylad.Renovation has four focus areas of regional development ‒ new economy, urban studies, contemporary art, and informal education. These areas were chosen to fight low standards of living, migration of talented people, business underdevelopment, poor qualification of workers, divided society, absence of innovative and creative companies.

The main purpose of the renovation is to create an ecosystem of spaces which will be interesting to communities and businesses, attract new initiatives, and become a new cultural and business center in the city. Citizens will get a new public space for personal development, work and recreation which will be interesting, comfortable and beneficial to spend time at.

Mission – Proprylad.Renovation has to become a place for aspiring people where they create and introduce opportunities in order to reboot the city and region. We want to become a prototype for other territories with similar preconditions.

Vision – In 2050 Ivano-Frankivsk is becoming a magnetic city for aspiring people.

Solution:

During next three years, the project is going to raise $25 million from private investors and organizations to purchase the plant and gradually launch six buildings and a park.

The plant will give space to offices, laboratories, workshops, exhibition and entertainment centers, a hotel and a hostel, a farmers’ market, restaurants and many more. Moreover, one-third of the area will be rented out offering rental concessions to non-governmental, cultural and social initiatives, the work of which coincides with the project vision.

Promprylad.Renovation is an impact-investment project, which means the investor receives financial return on investments in the form of dividend payouts and social impact on regional development.

50% of the innovation center profits will be used to fund projects focused on 4 areas of regional development
30% of the center area rented out at a reduced rent rate to art, social, and educational projects,
The project will use Social return of investment (SROI), a principle-based method for measuring social impact, developed by Social Value UK. During the planning stage, following PACT method it was calculated that every invested into the project dollar will make 5 dollars worth of social impact.

Results:

Today there are 25 operators representing cultural, business and educational functional spaces on a 6200 m² floor. 350+ people work here. In 2 years of a project vigorous activity, 1300 events visited by approximately 45 000 people took place here. The space held 24 exhibitions at the contemporary art gallery, 20 big conferences, over 400 lectures and educational events, a few concerts and hackathons. Over 5000 people visit Promprylad.Renovation monthly. These are office visitors, guests of the events, investors and tourists interested in the project.

Over the last year, the team of Promprylad.Renovation project has the following achievements:

$ 5.3 million investments from 470 co-investors and 13 companies raised. This is a unique case for Ukraine.
Buy-out of Promprylad plant which lies in the heart of Ivano-Frankivsk.
Over 6,200 square meters revitalized.
25 functional spaces and residents selected according to the ecosystem approach are currently working here.
The first revaluation of project assets was carried out according to international standards. It showed that the capitalization of the investment project increased by 21% during 2019-2020.
The next stage of investment has started.
There are already 2 R&D centers based within the Promprylad. The production and testing center of FRAMIORE ecological clothes will open soon.

Category: Prosperity

Company: Promprylad.Renovation LLC

About the company:

Promprylad.Renovation is an innovation center on premises of a revitalized plant in Ivano-Frankivsk, with four focus areas of regional development ‒ new economy, urban studies, contemporary art, and informal education.