Multi Development announced the restart of construction of its major inner-city development in Ostrava. Construction workers are now returning to the large site in the city center. This follows Multi's recent announcement of closing the funding deal of 99 million through a syndicated loan from 4 banks. With this restart, Multi has succeeded in continuing with the project after a one year break caused by the financial crisis.
New Karolina in Ostrava is one of the largest urban development and revitalization projects in the Czech Republic. Within the total 32 ha site, the first of 4 planned phases comprises of a 57,000 m² shopping and leisure center with a unique architectural and design concept, an office building of 23,000 m², a residential building with approximately 200 apartments and two historic buildings reconstructed to fulfill modern functions, all set in a newly built infrastructure with carefully planned public spaces. With total investment of over 200 million, phase 1 will be completed in spring 2012.
Ronald Dasbach, Managing Director of Multi Development for Central Europe commented: "Five years ago, Multi took the conscious decision to focus on projects in the hearts of cities, where assets are less vulnerable to commercial risks. Here, the often broken or incomplete urban network can be successfully completed, bringing people and life back into the historic centers of European towns. Multi is fully committed to the Central European region and is planning further investments in Czech Republic, Slovakia and Poland."