Yesterday, April 26th, the contract for the Belgrade on Water shared investment project was signed in Belgrade. The total value of the contract amounts to approximately 3.5 billion Euro. The contract was signed by the vice president of the government and the Minister of Construction, Transportation, and Infrastructure, Zorana Mihajlovic, by the president of the Eagle Hills board of directors, Muhamed Al Abar, and by the director of Belgrade on Water, Aleksandar Trifunovic. The mayor of Belgrade, Sinisa Mali, was also present for the occasion.
According to the shared investment project contract signed by the Serbian government, the company Eagle Hills will provide 300 million Euro to finance the Belgrade on Water project.
Based on the data presented to the Serbian media, Belgrade on Water will hold 32% of the shares and the partner, the United Arab Emirates, will hold the remaining 68%.
Eagle Hills, the owner of Belgrade Waterfront Capital Investment LLC and a partner of the Serbian government in the Belgrade on water project, will supply 150 million Euro in share capital. The other 150 million Euro will come from a shareholder loan.
Moreover, Eagle Hills will loan Serbia 90 million Euro in order to move buildings owned by Serbian Railways and 40 million Euro in order to complete the expropriation process for the land.
The project is expected to last no more than thirty years, and half of the project is expected to be finished in the first twenty years. Through the Belgrade on Water project, more than one million square meters of residential property is expected to be constructed, more than 750,000 square meters of nonresidential commercial property, more than 62,000 square meters of schools, preschools, cultural institutions, and social protection and health care institutions, and approximately 242,000 square meters of parks.
The construction of the first buildings will begin this summer. The two residential buildings which will be built were already presented at the world’s most important real estate conference in Cannes.
“Serbia and Belgrade are starting construction projects, and this is an opportunity to engage the housing sector and the mechanical industry,” said Zorana Mihajlovic, adding that the contract will be executed in accordance with the agreed-upon timetable.
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