Browsing Category: "Development"

Investors did not show interest in Sochi’s Olympic venues

Development, Olympics 2014 August 13th, 2008

Olympstroy, state corporation responsible for coordination of the Olympic construction in Sochi, could not attract investors for some of the Olympic venues. The tender’s deadline was August 8, but there were no proposals for four projects, including the ice arenas.

The Olympstroys’ tender projects are tandems of Olympic venue plus hotel(s). quoting Pokrov Invetment Group’s President saying that pay-off period for hotels can be from eighth years and more, while for the sports venues from 12 years to never. By his calculations sport venue + hotel tandem could take more than 20 years to pay-off.

Meanwhile, officials are not surprised about the outcome. The press secretary of the Ministry of Regional Development said that ice arenas in many countries are not paying off and are built on governments’ funds. However, the administration had to try to find private funds for these venues.

Now there will be separate tenders for the hotels, while Olympstroy will finance the venue constructions, and run separate tenders for prime contractors for the venues construction.

Information from and

Helping out with Olympics preparations: the Olympic tenders and investment opportunities!

Development, Olympics 2014 August 6th, 2008

Sochi Olympic Cooperation

Own a business or have money to invest? You can help Sochi to get things done on time! :)

There are two places I know where you can find information about Olympics-related tenders. One is the official website of the Sochi Organizing Committee for the Olympic Games, and the other one is the website of the state corporation “Olympstroy”.

And these are not only tenders for construction of the Olympic venues for the Sochi Olympic Games, but also for smaller stuff, like supplying construction equipment, autos, office supplies and equipment, providing services like financial audits and technical expertise for various events, etc.

The trick with the Organizing Committee for OG is to monitor both Russian- and English-language versions of the websites. French-language version of the website doesn’t have any information on official tenders. Most tenders are published in the Russian section (of course in Russian language), and fewer are on English (in English). Looks like it depends on the tender where each one goes. Right now there are five open tenders in the Russian section.

The Russian section also lists several high-level open vacancies open in the Organizing Committee. I assume this means that the candidate has to be fluent in Russian. The English section’s “vacancies” section is empty for now.

Sochi Olympic tenders from the Sochi Organizing Committee for the Olympic Games:
Russian language
English language

The state corporation “Olympstroy” opened redesigned website about a week ago, and also lists all tenders there Read the rest of this entry »

WW2 Museum opens in Sochi, featuring statue of Churchill, Stalin, and Roosevelt meet

Development, Sochi News May 11th, 2008

WW2 Museum in SochiWorld War II museum opened in Sochi this weekend. According to, the museum is featuring one of the most complete collections of WW2 awards. All Soviet medals and decorations were donated to the museum by owners or their heirs, and the awards from the foreign countries were purchased in auctions. Among other items are ammunition and paintings from the collection of the businessman Victor Baturin.

The museum is located on the territory of the Sanatorium «Krasmashevsky».

In front to the museum is new statue of Churchill, Stalin, and Roosevelt meeting in Yalta (another Black Sea coast city, now in Ukraine). The author of the statue is Israeli architect Frank Meisler. Here a couple of pictures from the and a video news clip (in Russian) from

WW2 Museum in Sochi

Read the rest of this entry »

To be: Bridge connecting Russia’s south and Ukraine’s Crimea

Development, Russia May 7th, 2008

As reported by Russian news agency ITAR-TASS about a week ago, Russia and Ukraine have reached the agreement to build a bridge connecting Russia’s South and Crimea. I’ve written an article about plans for the Kerch Strait Bridge when they were announced by Ukrainian officials last year.

That announcement came short after Russian gov’t officially pledged to develop Sochi as round-year resort no matter how the Olympic bid goes. Many believe having this bridge will help Ukraine get some of the money Russia will pump into the south over the next decade. Anyways, both Russian and Ukrainian prime ministers have confirmed the agreement, and Ukrainian PM, Yulia Timoshenko, announced that the work on this project will start within days.

The first Kerch Strait Bridge connecting Krasnodar Krai and Crimea was built back in 1944, but was destroyed within a year by sea storms, and was never rebuilt. There are several projects for the new bridge in existence, valued between $700 million and one billion dollars.

As a separate, transportation related, piece of good news for Russia’s south – Russian government allocated extra money for reconstruction and maintenance of Russia’s roads. And the largest part of it – 86.7 billion rubbles ($3.7 bln), instead of originally planned 27 billion ($1.1 bln) just this year alone – will go into “Olympic” roads: М4 “Don”, connecting Moscow and Novorossiysk, and М27, DzhubgaSochi.

Photos from Gazprom’s ski resort: Psekhako Ridge

Development April 20th, 2008

Psekhako Ridge. Gazprom ski resort in Krasnaya Polyana, Sochi, Russia.This is continuation of the photoset from the Gazprom’s new ski resort in Krasnaya Polyana. These photos are from the top of the ski-lift first stage at the Psekhako Ridge. You can find photos of resot’s base here.

Mountain Resort (second stage)

Gazprom carries out engineering and preparation for the second stage of Mountain Resort construction. The second construction stage includes pistes, ski stadium and other facilities at the Psekhako Ridge. Said facilities will be used during the Olympic Winter Games in 2014. Construction of the Olympic Ski Stadium with operating facilities will be finished in 2010.

The second construction stage also includes 4 ropeways, ski lifts, summer sports facilities, multilevel car parking, 300 and 180 room hotels, Cultural Center with waterpark, conference halls, restaurants, cafes and trading area.
– from press release

So, here we go, the photos: Read the rest of this entry »

Photos from Gazprom’s “Laura” ski resort

Development, Russia April 20th, 2008

Laura ski lift in Krasnaya PolyanaHere are several photos from brand spanking new «Laura» resort (official name “The mountain-ski center «Gazprom»”) launched this winter season!

At present Gazprom constructs a Mountain Resort in the Achipse River valley and at the Psekhako Ridge. Gazprom finishes the first stage of construction including 8 ropeways, ropeway lower station with utility rooms, ski lifts, 220 room hotel, 32 villas, guest house for official delegations, volleyball playground, tennis courts as well as energy supply, security, communication facilities and other operating and auxiliary facilities. In the end of 2007 Gazprom plans to commission all facilities of the first construction stage.

– from Gazprom’s press release

See map and all 15 photos: Read the rest of this entry »

High-speed train route Moscow-Sochi will cost $20 bln

Development, Sochi News February 2nd, 2008

Tender will be announced for the constructtion of the high speed railway between Sochi and Moscow in the near future. «Russian Railways» in partnership with Canadian Bombardier and Italian Finnmechanica announced that will compete for this project. Their $19.6 bln plan is to modernize existing infrastructure, and have trains going with max speeds of 200 km/h (125 m/h) and reaching final destination in just 15.5 hours. Night time rides will be setup, so passengers could get on the train in the evening, and arrive to Sochi next morning.

Photos of Federation Island Model

Development November 19th, 2007

Dmitry Kugarov published a few photos of future Federation Island — artificial island in the Black Sea:

Federation Island in Russia, Sochi

Federation Island in Russia, Sochi

Federation Island in Russia, Sochi

Three month later: uncertainty among Sochi residents

Development, Olympics 2014, Sochi News October 1st, 2007

So, as I mentioned in my previous post I recently spent two weeks in Sochi. Actually, I spent a little less there, as I went to Nebug, a small town north of Sochi, for a couple of days with my friends.

Since I came back everyone, who heard about Sochi’s Olympic future, keeps asking me what’s being done for the Olympics, what has changed – but what could change in two month?! Not much. Nothing, in fact, changed so far. We arrived to the same old airport terminal, no major constructions throughout the city, though I haven’t visited Krasnaya Polyana this time, where I hear some road constructions are on the way.

Well, some thing have changed, but not related to the Olympic bid win. New night clubs opened, such as “Platforma” club in the sea, which instantly overtook a crown from club “Malibu” as most popular open-air club in Sochi. Many places with beautiful landscaping jobs now have green highlights at night – this makes everything look beautiful. The public transportation problem as bad ad ever, and is worsened by the increasing amount of traffic in the city. At times the traffic in Sochi is as bad as it is in Moscow or Manhattan during peak hours. I almost missed my flight to Moscow sitting in the traffic. Of course, this goes back to the “roads problem” that our government promises to fix by the Olympics.

While I was there, the preparations to host the The Sixth International Investment Forum and following visits by Prime Minister of Spain Jose Luis Rodriguez Zapatero, and the President of the International Olympic Committee Jacques Rogge were on the way. This caused some roads to be closed, which just added problems for drivers in Sochi, and subsequently increased taxi ride prices for the rest.

One major change, however, did take place – Read the rest of this entry »

Sochi forest satellite monitoring program launched

Development, Sochi News July 28th, 2007

Previously promised program for monitoring forests and effects of “olympic” construction projects in Sochi and Krasnodar region has been launched. Monitoring data will be published and publicly available on official website of the Federal Forestry Ministry, any violation will be reported to the government authorities.

The digital data gathered during this program will also be used to create new maps and locate places with high risk of avalanches.

This program is part of wider federal program for monitoring environment in Sochi during realization of the Federal Targeted Program for the development of Sochi.

Sochi real estate market forecast from the pro

Development, Other stories July 17th, 2007

«Real Estate Krasnodar» blog has a couple of new good articles on real estate in Sochi.
Visit it to read professional analysis and forecast of real estate market in Sochi, and find out new-built property prices.

Sledge-bobsled course in Sochi will be longest and fastest in the World

Development, Olympics 2014, Sochi News July 17th, 2007

According to preliminary calculations, the sledge and bobsled course to be constructed for Olympic Gmes in Sochi will be longest and fastest in the World. This will be thwe second bobsled course in Russia, the construction of the first one will be completed some time next year near Moscow. Head coach of the Russian bobsled team said that Moscow course will most likely be used mostly for training and testing on new bobsleds, while Sochi’s course will most likely become course for competitions.

Development news

Development, Sochi News July 16th, 2007

  • “Base Element”, the new owner of Sochi airport, is arguing with “Russian Railways” on weather to build a light railway from the Airport to the city’s center and future Olympic venues, or to build full railway extention from the Adler rail station to the Airport. Time frames and money are the questions at hand.
  • “Systema Gals” development company plans to build 100 000 sq. meters resort complex by year 2010, with will include five-star hotel and apartments, and 100 meters tall tower. I hope people don’t go building little Manhattan in Sochi, as Sochi is in seismic zone.
  • “Moscow Capital” bank will invest $150 mln in building “Solnechnaya Polyana” (Sunny Valley) alpine skiing resort in Krasnaya Polyana – where Olympic skiing and sliding venues will be located. The construction will start in 2008, and is to be completed by year 2013.
  • Land prices in Sochi exceeded Moscow prices. One “sotka” (100 sq meters) by the sea now costs $150 000.

Some Olympics related news

Development, Olympics 2014, Russia, Sochi News July 7th, 2007

News stories that caught my eye; some are new, some are updated:

  • Over $622 million are allocated for Sochi program for the rest of this year from federal budget. Next year this sum will be $1.2 bln, and in 2009-2014 around $1 bln every year. Additional funds will be allocated in Krasnodar Regon’s and Sochi’s budgets, and more money will come from private investments.
  • Business delegation from Belgium and Luxemburg will visit Sochi in May 2008 to learn about the opportunities in preparation for the Olympics. They are interested in construction, construction materials and hi-tech infrastructure projects.
  • Second hydroelectric power station in Krasnaya Polyana will be completed by 2010 and will comply with all environmental requirements, including requirements of the Kyoto Protocol. Moreover, three billion dollars – a quarter of the promised 12 billion dollars investments, will be spent on upgrading Sochi’s energy sector. And this is a good thing, if you’ll remember this year’s (and every year’s) power outages in Sochi. All planned energy related projects are promised to be completed by year 2012.
  • Around $117 million will be spent on four telecommunications projects in Sochi.
  • Over 50 000 police officers will be ensuring safety in Sochi during the Olympics — that’s three and a half times fewer than during Summer Olympics in Moscow in 1980. Large role will be given to the hi-tech tools, such as state of the art video surveillance systems and new systems setup around the city with direct lines to the police.
  • Three backup airports will be built for the Olympics in Russia’s South: in Gelendzhyk (another Back Sea resort north of Sochi), Mineralnye Vody (“Mineral Waters”, a … mineral waters resort :)), and Krasnodar (region’s capital). Sochi’s airport will be upgraded to accept any size aircraft in almost any weather conditions.

Backup airports for Olympics in Sochi
Backup airports for 2014 Winter Olympics

Artificial Island in Sochi

Development, Sochi News June 24th, 2007

Investment agreement about the construction of tourist recreation complex in the Black Sea was signed by the Krasnodar Kray administration with St.-Petersburg based “M-Industry” construction company during XI Saint-Petersburg International Economic Forum couple of weeks ago.

The artificial island, named Federation Island, will have residential area, hotels, restaurants, malls, year-round yacht parking, various sea attractions – aquarium, oceanarium, and many other. Planned location is Khosta district – my home area. No dates are set yet.

Sounds good? Not to me, and for so many reasons I don’t know where to start. And, unlike developments in Adler (in the planned “Olympics” area), which will improve district’s infrastructure and people’s lives, this one will improve nothing. I want more information on this, but right now I don’t see how it possibly can be a good idea.