Develia has concluded an annex to the 2021 joint venture cooperation agreement with Grupo Lar Holding Polonia and CGLS (Lar Management Polonia) – i.e. companies owned by the Spanish Grupo Lar – with the intention to implement a new residential investment in Warsaw with the creation of another investment company, Develia reported. The investment will involve a total commitment of PLN 125.38 million from the partners, with Develia’s commitment set at 80%.
The cooperation within the framework of the new investment covered by the annex will consist in the creation of another investment company with the intention of building a residential estate for approximately 550-600 flats, located in Warsaw, which will be the owner of the rights and obligations arising from the development project, the company announced.
“So far, our cooperation with Grupo Lar has been going very well, so we have decided to expand the joint venture. The next investment will allow us to further increase our offer on the Warsaw market, where we are already developing 11 investments. The JV partnerships are in line with our strategy, which assumes, among other things, increasing the sales of flats to over 4,500 a year, which will allow us to achieve the position of a leader in the residential market in Poland,” said CEO Andrzej Oślizło.
The annex to the joint venture agreement was concluded under conditions precedent, the main condition being the approval of the President of the Office of Competition and Consumer Protection for the concentration. The realisation of the investment is subject to the fulfilment of the conditions for the acquisition of the real estate included in the preliminary land acquisition agreement concluded by the special purpose vehicle.
The existing partnership with Grupo Lar was launched in 2021 and includes the development of three investments: Ursynów#22, Lizbońska, which are already under construction with an advanced sales level of more than 80%, and a development in Białołęka, which is in the pipeline. In total, these three investments will offer more than 600 flats.
Source: Develia and ISBnews
