Pillar Continues Development of New Hanza Territory: Investments amount to EUR 21.3 million

| Source: ABLV Bank, AS

Riga, Latvia, 2017-05-15 08:29 CEST (GLOBE NEWSWIRE) -- Earlier this year, companies of Pillar Group continued the work on the large-scale project – development of the modern part of Riga city New Hanza. By now, Pillar has already invested EUR 21.3 million in the development of New Hanza, which were used for site improvement, designing of the planned buildings, reconstruction of currently existing buildings, construction of Pillar administrative office, construction of utility lines and roads, as well as other projects related to the development of the territory.

Rather good weather conditions during the first three months of the year allowed Pillar to continue the commenced works of the 1st stage of construction of New Hanza infrastructure with hardly any interruptions: water supply, sewage, heating and electricity lines are being built, as well as the unique large-scale rainwater collection and accumulation system, and network of streets. Such good progress is likely to enable Pillar to start constructing ABLV headquarters by summer 2017.

A lot of work is put into preparing the reconstruction project for the Riga freight station warehouse. Currently the last coordination works of the construction project of the warehouse are being done to start the actual work on the reconstruction by the end of summer. The building is going to be reconstructed in accordance with the project proposed by architect Reinis Liepiņš from the architectural firm “Sudraba arhitektūra”. The project implies rebuilding the warehouse to turn it into a modern and multifunctional culture centre.

Currently, there are two residential buildings under designing as well — premium class and medium class buildings for about 100 apartments each. The coordination process is in the final stage also for the New Hanza Park project, which is going to be 1.6 ha large.

It should be noted that within the first quarter of this year Pillar continued selling out its real estate portfolio — there were 23 sale deals closed with the total sum of EUR 2.35 million. Still, the highest activity is on the serial apartments market, as well as there is solid demand for private houses and land plots.

“Just like it was at the end of 2016, this year we continue focusing on forming a professional team of specialists, namely for management of construction and designing processes. Furthermore, the trends on the market of residential property prove our earlier predictions — a moderate growth is prevailing on the market, the demand and offer ratio being near the level of 2016,” — says Ieva Valtere, CEO of Pillar Management, SIA.

Pillar group, established in 2008, is owned by the largest private bank in Latvia ABLV Bank, AS and it includes companies that operate in the field of real estate development, management, and trade. Pillar group includes Pillar Management, SIA, Pillar Holding Company, KS, Pillar Development, SIA, Pillar Contractor, SIA, Pillar Architekten, SIA and other companies. In total, Pillar supervises about 245 properties worth approximately EUR 38.5 million. So far, the company has invested a total of EUR 21 million in renovation of properties. Since 2013, Pillar is the major sponsor of the Annual Award in Latvian Architecture organized by the Latvian Association of Architects.

         Jānis Bunte
         Public Relations Specialist
         Tel.: +371 6777 5432