Major repairs (thermal modernization) of the building of the municipal institution "Molodist City House of Culture"


Sector
Municipal infrastructure and services
Stream
Improving energy efficiency in public buildings
Preliminary Investment Feasibility Study
Project Status
Investment Feasibility Study
Entry into Portfolio
Local level of SPP
Implementation
Completion

General information

Description of the project

The project involves major repairs with elements of thermal modernization of the building of the municipal institution "City House of Culture "Molodist". It is planned to insulate the facades and roof, replace windows and doors with energy-efficient ones, and modernize the heating and lighting system.

The purpose of the project

Main goal:

Introducing innovations and energy-efficient solutions

Secondary goal:

Increasing compliance with modern standards

Description of the purpose of the project and ways to achieve it

Project Objective The project objective is to increase energy efficiency and create comfortable conditions for visitors and employees of the municipal institution "Molodist City Culture House" by carrying out a major renovation with elements of thermal modernization of the building. Methods of achieving the goal To implement the project, it is planned to: insulate the facades, basement and roof of the building; replace windows and doors with energy-efficient structures; modernize the heating system and install modern energy-saving equipment; introduce energy-efficient lighting; repair internal premises to ensure proper conditions for visitors. Justification of the gap between the current state and the target level Today, the building has significant heat loss due to worn-out enclosing structures, old windows and doors, and an outdated heating and lighting system. This leads to overspending on energy resources, high maintenance costs, and creates uncomfortable conditions for employees and visitors. The target level involves bringing the building into compliance with modern energy efficiency requirements, reducing energy consumption costs, increasing the comfort of staying in the building, and ensuring the provision of high-quality cultural services to the community.

Problems and solutions resulting from project implementation

Key problems to be solved by the project Low level of energy efficiency of the building. Old windows, doors, worn-out structures and an outdated heating system lead to significant heat loss and overconsumption of energy resources. Relevance: in today's conditions of increasing energy tariffs and the need to reduce budget expenditures, this problem is especially acute. Consequences if not resolved: further increase in costs for maintaining the institution, risk of reducing cultural programs due to limited financial resources. Expected changes: reduction of energy consumption, saving budget funds that can be directed to the development of culture. Unsatisfactory technical condition of the building. High degree of physical wear and tear of premises and engineering networks creates a threat to the safety and comfort of visitors. Relevance: the building is used for mass events, therefore the safety and quality of the premises is a priority. Consequences if left unresolved: deterioration of operating conditions, restrictions on holding cultural events, gradual decommissioning of the facility. Expected changes: restoration of the building's functionality, extension of its operating life, increased safety. Insufficient level of comfort for visitors and employees. Due to the cold in winter, poor lighting and worn-out interior spaces, inconveniences are created for event participants. Relevance: a decrease in the level of comfort directly affects attendance and interest of citizens in cultural life. Consequences if left unresolved: reduction in the number of visitors, reduction in the prestige of the institution, restrictions on the development of cultural initiatives. Expected changes: creation of a modern cultural space, convenient for all age groups, increase in attendance and community activity.

Socio-economic context

Indicator

Value

Number of IDP users

2.1 thous. people

Number of people who will use the service

37 thous. people

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

Urban planning and landscaping

Stream

Improving energy efficiency in public buildings

Strategic document

Стратегія розвитку територіальної громади

Task

2.2.2. Carry out comprehensive energy modernization of municipal institutions

Project objectives

Indicator
Base value
Target value
number of IDP visitors
1000 human
2100 human
number of visitors
20000 human
37000 human

Project Sustainable Development Goals

Demand for the service and its dynamics

What methodology was used to estimate demand?

Аналіз демографічний даних
[Response was provided in the Preliminary Investment Feasibility Study]

Has data from external sources been used in the demand assessment?

Yes
[Response was provided in the Preliminary Investment Feasibility Study]

Does the demand forecast take into account the latest demographic and economic forecasts?

Yes
[Response was provided in the Preliminary Investment Feasibility Study]
Indicator
Year
Demand
Annual demand for services/infrastructure
1
32418 human
Economic justification

Analysis of the project's impact on ecology and climate change

Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?

Transition to a circular economy
[Response was provided in the Preliminary Investment Feasibility Study]
Climate change adaptation
[Response was provided in the Preliminary Investment Feasibility Study]
Climate change mitigation
[Response was provided in the Preliminary Investment Feasibility Study]

Is the proposed project expected to significantly harm any of the following climate or environmental objectives?

None of the options are applicable

Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?

None of the options are applicable

Is the proposed project expected to significantly harm any of the following climate or environmental objectives?

None of the options are applicable

Have the greenhouse gas emissions or emission reductions (Scope 1-2) associated with the project been calculated for a typical year and the entire project period?

No
[Response was provided in the Investment Feasibility Study]

Does the project require an environmental impact assessment (EIA) in accordance with the Law of Ukraine "On Environmental Impact Assessment"?

Conducting an EIA is not required.
[Response was provided in the Investment Feasibility Study]

Project sustainability and inclusivity

Identify potential gender risks of the project and indicate possible ways to overcome them:

None of the options are applicable

Does the project provide for improving women's access to services?

Envisaged training or advanced training for women in the private sector
[Response was provided in the Preliminary Investment Feasibility Study]
The project will improve women's access to education (primary, secondary, vocational)
[Response was provided in the Preliminary Investment Feasibility Study]
The project will create jobs available to women (temporarily or permanently)
[Response was provided in the Preliminary Investment Feasibility Study]
The project will improve women's access to safe water, food, and medical services
[Response was provided in the Preliminary Investment Feasibility Study]

Are civil society organizations representing women and vulnerable groups included in the consultation process?

Yes
[Response was provided in the Preliminary Investment Feasibility Study]

Were consultations held with representatives of target groups to take into account gender equality issues in the project?

No consultations were held with target groups.
[Response was provided in the Investment Feasibility Study]

Have the gender risks and social impacts of the project been assessed?

None of the options are applicable

Are there management and institutional mechanisms in place to ensure gender equality?

Not provided for by the project
[Response was provided in the Investment Feasibility Study]

Documents

Name
Date
economic justification of MBK Molodist.pdf
20.10.2025
10:55:21 UTC

Alternative technical solutions

Technical Solution 1

Comprehensive modernization of the existing building - municipal institution "City House of Culture "Molodist"

Technical Solution 2

New construction of a modern building - municipal institution "City House of Culture "Molodist"

Total costs59'759'544 UAH128'000'000 UAH
  • For preparation
  • 3'000'000 UAH5'000'000 UAH
  • For implementation
  • 54'824'544 UAH110'000'000 UAH
  • For operation
  • 1'835'000 UAH10'000'000 UAH
  • For closing
  • 100'000 UAH3'000'000 UAH
    Average annual costs1'080'000 UAH6'500'000 UAH
    Project duration, incl.36 months72 months
  • Deadline for developing a FFS
  • 9 months12 months
  • Implementation period
  • 27 months60 months
    Service life360 months600 months
    Target indicatorsDefined Defined
    Technical Solution Status
    Active

    [The technical approach was selected for further detailed analysis or implementation.]

    Rejected

    [The technical approach was not selected for further detailed analysis or implementation.]

    Components of a technical solution
    To components
    1
    To components
    0

    Commercial Justification

    Supplier and contractor market assessment

    Is the project likely to attract a sufficient number of bidders to ensure real competition that will encourage bidders to think innovatively and maximize the quality of their proposals?
    Yes

    [Response was provided in the Preliminary Investment Feasibility Study]

    Is the project of interest to small and medium-sized enterprises?
    Yes

    [Response was provided in the Preliminary Investment Feasibility Study]

    Will the project involve national or international suppliers and contractors?
    Yes, both national and international

    [Response was provided in the Preliminary Investment Feasibility Study]

    Has an analysis of available procurement options been conducted for the technical solution?
    No

    [Response was provided in the Preliminary Investment Feasibility Study]

    What procurement strategy was chosen for the project implementation, and what justifies its feasibility in the context of the market and project objectives?
    Стратегію закупівель для реалізації даного проєкту є забезпечення вчасного та якісного виконання проєкту в межах затвердженого бюджету Зменшення ризиків зриву постачань і переплат Прозорість, підзвітність і суспільна довіра до реалізації проєкту

    [Response was provided in the Investment Feasibility Study]

    What approaches are planned to be used to ensure transparency, competition, and efficiency in the procurement process?
    Інструменти та механізми відкритості процедур і контролю якості закупівель:1. Система електронних публічних закупівель ProZorro, 2. Публічне звітування та доступ громадськості 3. Незалежний технічний та фінансовий нагляд 4. Внутрішній контроль з боку замовника 5. Громадський моніторинг і платформи зворотного зв’язку

    [Response was provided in the Investment Feasibility Study]

    What types of procurement procedures are envisaged by the project (open tender, negotiated procedure, competitive dialogue, etc.)?
    Open competitive bidding

    [Response was provided in the Investment Feasibility Study]

    Pre-market engagement
    Ринок у цілому готовий до реалізації проєкту:наявні виконавці,доступні технології, інтерес з боку підрядників підтверджений під час попереднього аналізу. Основні ризики пов’язані з регуляторною та економічною нестабільністю, однак їх можна пом’якшити за рахунок правильної організації закупівель і гнучкого графіка реалізації.

    [Response was provided in the Investment Feasibility Study]

    Potential market participants
    На основі аналізу відкритих тендерів та результатів консультацій очікується достатньо високий рівень конкуренції у таких напрямках: Будівельно-монтажні роботи — очікувана участь 5–7 підрядних організацій Постачання вікон, утеплювачів, інженерних систем — 4–6 компаній на кожен лот Протипожежні системи та обладнання — 2–3 спеціалізовані постачальники Послуги технічного нагляду та авторського контролю — щонайменше 3–4 компанії Очікується залучення як регіональних, так і національних гравців.

    [Response was provided in the Investment Feasibility Study]

    Market readiness assessment
    Ринок у цілому готовий до реалізації проєкту:наявні виконавці,доступні технології, інтерес з боку підрядників підтверджений під час попереднього аналізу. Основні ризики пов’язані з регуляторною та економічною нестабільністю, однак їх можна пом’якшити за рахунок правильної організації закупівель і гнучкого графіка реалізації.

    [Response was provided in the Investment Feasibility Study]

    Financial justification

    Total project budget

    Total preliminary budget59'759'544 UAH128'000'000 UAH
    Capital costs59'759'544 UAH128'000'000 UAH
    Operational costs0 UAH0 UAH

    Preliminary cost breakdown

    Operating costs for implementation0 UAH0 UAH
    For preparation3'000'000 UAH5'000'000 UAH
    For implementation54'824'544 UAH110'000'000 UAH
    For operation1'835'000 UAH10'000'000 UAH
    For closing100'000 UAH3'000'000 UAH
    Were the methodological recommendations approved by the Ministry of Finance of Ukraine applied when calculating the indicative budget?
    Yes
    [Response was provided in the Preliminary Investment Feasibility Study]
    Were the methodological recommendations approved by the Ministry of Finance of Ukraine applied when calculating the indicative budget?
    Yes
    [Response was provided in the Investment Feasibility Study]

    Average project cost per service recipient

    Service UnitВартість одиниці послуги
    Service Unit Cost1'500 UAH

    Profitability of the project

    Is the project expected to generate income?NoNo
    Is the project self-sustaining?No

    Availability of services

    Has an analysis been conducted of the accessibility of services for consumers and their financial ability to pay the established tariffs?
    No – analysis not performed

    [Response was provided in the Preliminary Investment Feasibility Study]

    Project Financing Mechanisms

    Are funding sources and mechanisms identified?

    Source and MechanismYesNo

    Funding Sources

    Approved Funds0 UAH0 UAH
    Expected Funds0 UAH0 UAH

    Public-private partnership

    Has a qualitative and quantitative assessment of the project's suitability for implementation through a PPP mechanism been conducted?
    The project does not fall under the PPP format by its nature/character

    [Response was provided in the Preliminary Investment Feasibility Study]

    Are there, after conducting an appropriate study, private investors interested in the possibility of implementing the project in the PPP format?
    No

    [Response was provided in the Preliminary Investment Feasibility Study]

    Management Rationale

    Team competencies

    Determine which competencies/expertise required for successful project preparation and implementation can be provided by the project initiator's own project team (without involving external advisors)
    Strategic justification - analysis of the strategic feasibility of the project

    [Response was provided in the Preliminary Investment Feasibility Study]

    Economic justification - economic analysis

    [Response was provided in the Preliminary Investment Feasibility Study]

    Project management - risk management

    [Response was provided in the Preliminary Investment Feasibility Study]

    Economic justification - social and gender analysis

    [Response was provided in the Preliminary Investment Feasibility Study]

    Project management - public consultations

    [Response was provided in the Preliminary Investment Feasibility Study]

    Strategic rationale - SDG compliance analysis

    [Response was provided in the Preliminary Investment Feasibility Study]

    Financial analysis - financial analysis

    [Response was provided in the Preliminary Investment Feasibility Study]

    Strategic rationale - demand analysis

    [Response was provided in the Preliminary Investment Feasibility Study]

    Does the team have experience implementing similar projects?
    No, this is the first project of its kind.

    [Response was provided in the Preliminary Investment Feasibility Study]

    Identify which competencies/expertise required for successful project preparation and implementation need to be strengthened by engaging independent experts or consultants
    Economic justification - economic analysis

    [Response was provided in the Preliminary Investment Feasibility Study]

    Is there an understanding of where to find relevant experts and consultants?
    Partially, we are considering options

    [Response was provided in the Preliminary Investment Feasibility Study]

    Is the project management structure defined: working group, chair, project team?
    No

    [Response was provided in the Investment Feasibility Study]

    What categories of experts and consultants have already been involved at the project preparation stage?
    None of the options are applicable
    Are there plans to involve experts and consultants for further implementation of the project?
    No

    [Response was provided in the Investment Feasibility Study]

    Risk assessment

    Technical riskDefinedUndefined
    Financial riskDefinedUndefined

    Organizational events

    ResponseDefinedUndefined
    Results of the feasibility analysis
    Project Preparation Program Engagement and Funding Needs

    Is there ongoing cooperation or support within the framework of international technical assistance (ITA) or from other donor or government agencies?

    No
    [Response was provided in the Preliminary Investment Feasibility Study]

    Does the project require preparation assistance from Project Preparation Programs (PPF)?

    None of the options are applicable

    Does the project require additional preparation assistance from Project Preparation Facilities (PPF)?

    None of the options are applicable
    Need for financing

    Does the project require additional funding for preparation?

    No
    [Response was provided in the Preliminary Investment Feasibility Study]

    Project Approval History

    DateDecision NumberPortfolioProject StatusDecisionReasons
    17/10/2025SP-L-171025-178F8D5ACommunity SPPreliminary Investment Feasibility StudyNot approvedno full feasibility study
    24/10/2025SP-L-241025-E30F343FCommunity SPInvestment Feasibility StudyInclude-
    07/11/2025SPP-L-071125-97C16D37Community SPPInvestment Feasibility StudyInclude-