PIK Group acquires a major development site in Novorossiysk

PIK Group (LSE: PIK), one of Russia’s leading residential real estate developers, today announced the acquisition of a major land plot in Novorossiysk. The size of the plot is around 42 hectares in area, on which PIK plans to develop approximately 440,000 square meters of residential housing. The financial consideration for the site amounts to around US$ 25 million.

The local authorities plan to complete over 1.1 million square meters of housing in the city by the end of 2010 in order to meet local demand; at least 20,000 families require rehousing in improved conditions.

The site oversees the Black Sea and adjoins an existing development of the Company, “Southern Shore”, where the Company is currently developing approximately 350,000 square meters of housing.

Novorossiysk is situated on the Black Sea Coast, in the southern part of Russia and is a major port and transit corridor for the country. The City is situated around 150 km from Sochi, the Capital of the Olympics Games in 2014.

THE INFORMATION CONTAINED IN THIS ANNOUNCEMENT IS RESTRICTED AND NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY IN THE UNITED STATES OF AMERICA

source : Pik Group