TMM To Construct USD 180 mln Crimean Recreational Complex

TMM Real Estate Development (TR61 GR: BUY) said in a press release that it plans to invest about USD 180 mln into the construction of a recreational complex on the eastern coast of Crimea between Sydak and Feodosiya. The company has already started preparatory work on the 135 ha landplot and construction is expected to last for 1.5 years. The project involves the building of several hotels, apartment-style lodgings, sports facilities, restaurants and bars. Alexander Romanov: The company is continuing to add new projects to its portfolio since placement in May 2007. This is TMM’s second resort project in Crimea after the recently introduced one at Arabatska Strilka. This new project was not included in the upcoming portfolio appraisal by Colliers, which is expected by the end of September 2007. Our back-of-the-envelope estimate of this project’s value as of today is USD 70-100 mln.