OREANDA-NEWS. On 01 July 2008 was announced, that according to the decision of Tallinn municipality, Tallinn city gives to Arco Investeeringute AS, a subsidiary of Arco Vara AS, 5,0 ha of residential land. In return Arco Investeeringute AS must give to the city 10,7 ha of social and transportation land, pay 22,5 mln kroons (1,4 mln euros) and make infrastructure investments according to initial evaluation in amount of 18,0 mln kroons (1,1 mln euros).

Including existing land position and zoning rights in the project Arco will have in total 56 land plots with total area of 6,8 ha.

According to the head of Arco's development division Mr. Veiko Taevere the decision enables to complete the project finally. “It's great to know that after long and complicated negotiations the compromise satisfies both parties and we are able to complete the residential district. Sales activities will start in spring”.

Arco Vara is a leading real estate developer in the Baltic's, undergoing a SEE expansion with presence established already in Ukraine, Bulgaria and Romania. The operations involve real estate development, brokerage and construction arm. The company has offices in 29 cities and employs over 640 people. According to 2007 audited consolidated results net sales was 727 mln kroons (46 mln euros), net profit before minorities 235 mln kroons (15 mln euros) and assets 3 564 mln kroons (228 mln euros). Arco Vara is listed on Tallinn Stock Exchange.