Austrian Investment Group Soravia to Build an Exclusive Hotel in Budva, Montenegro

12. Juli 2006, 00:00

Representatives of Austrian investment group Soravia and director of Montenegrin hotel-keeping company Budvanska...

Representatives of Austrian investment group Soravia and director of Montenegrin hotel-keeping company Budvanska Rivijera, Dusko Lalicevic, have signed a preliminary contract on the construction of an exclusive hotel and elevation of the hotel complex Slovenska Plaza to the four-star level.

According to the Podgorica daily Dan, it is expected that the final contract will be signed in 30 to 50 days on the Sveti Stefan Island.

This is the first joint-venture contract in Montenegrin hotel-keeping industry. Budvanska Rivijera will secure construction land, while Soravia will build the hotel.

The two companies will also jointly invest at least EUR 50 million in the hotel complex Slovenska Plaza. This investment might reach EUR 100 million, while Soravia and Budvanska Rivijera are also supposed to establish a joint-venture company.

The majority shareholder of Budvanska Rivijera is the Montenegrin state, while the company has about 4,000 shareholders. Privatisation funds control more than 20 per cent of shares.

Besides Slovenska Plaza, the company also owns hotels Sveti Stefan, Milocer, Aleksandar, Palas, Kastel Lastve and Villa Oliva.

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