Reconstruction of the building of Rostov-on-Don Radisson Blu Hotel

Reconstruction of the building of Rostov-on-Don Radisson Blu Hotel

Investment project:  Reconstruction of the building of Rostov-on-Don Radisson Blu Hotel located at the address: Rostov-on-Don, 25-g/4, Beregovaya St.

Organization:  AGROKOM GROUP LLC

Director:  Sergey Aleksandrovich Sapotnitskiy, Director-General

Project start / completion date: In 2016, repair works were commenced in the hotel building. The facility was commissioned in 2018.

 

What was the idea or starting point for this project?

The feasibility and actuality of this project implementation are based on the current limited market supply of the best-in-class quality hotels and rooms with the appropriate infrastructure and additional services in Rostov-on-Don, as well as the lack of significant competition in the coming years. In addition, the possibility of this niche closing will contribute to the development of the business infrastructure in the region and strengthen its investment attractiveness.

What goals has this project achieved?

This project was included in the Program for the preparation for the FIFA World Cup 2018 execution in the Russian Federation approved by the Order of the Government of the Russian Federation No. 518 of 20/06/2013 on the Program for the Preparation for the FIFA World Cup 2018 Execution in the Russian Federation.

What type of state support was provided to you (the full name) and its size?

According to the Order of the Rostov Region Government No. 218 of 22/03/2012 on the Procedure of State Support for Investment Activities of Organizations for the Account of the Regional Budget, AGROKOM GROUP LLC (controlled organization of Primary-Don LLC) has the opportunity to reimburse a part of the credit interest charges, which was received for the implementation of the investment project “Reconstruction of the Building of Rostov-on-Don Radisson Blu Hotel”.

Please describe the stages of your project development

AGROKOM GROUP LLC (controlled organization of Primary-Don LLC) became the owner of the building where Rostov-on-Don Radisson Blu Hotel was situated in 2014. In 2016, repair works were commenced in the hotel building. The facility was commissioned in 2018. A contract was signed with Rezidor Hotel Group on the hotel management.

Payback period of the project

The simple payback period of the investment project is 9.8 years.

Information posted 21.12.2018
Information changed 27.12.2018