Source: eKapija | Wednesday, 30.09.2020.| 13:01
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Sales Price of Sava Centar Potentially to be Decreased by 20% Only One More Time

(Photo: M.Kambić/eKapija)
After the recent unsuccessful attempt at a sale of Sava Centar, the deputy mayor of Belgrade, Goran Vesic, says that the decision on whether to use the legal possibility of dropping the sales price of Sava Centar by another 20% will be reached this week.

– Sava Centar is incurring losses. In 2019 and 2020 alone, the losses amounted to RSD 528 million, that is, around EUR 4.5 million. Since 2010, the City of Belgrade has covered around EUR 22 million of this company's losses. Adding to that the fact that Sava Centar does not pay the property tax to the city, the debt is around EUR 7.7 million. This means that, in ten years, we have invested EUR 30 million, and the company's situation has not improved compared to ten years ago. In order for Sava Centar to be reconstructed, a lot more money is needed, at least EUR 50 million – Vesic said, as reported by Beoinfo.

According to him, that would be last potential decrease of the sales price. The decision is to be reached by a city commission one of whose members is Vesic.

– We are restrained by the law. The law says that, compared to the initially evaluated price, we have the right, if no one responds to the tender twice, to lower the price by 20% each time. We did it once and no one responded – Vesic said on TV Prva.

If such a decision is made, he explains, and no one responds, the price cannot be lowered any further. Instead, it goes back to the original price and waits for better times.

Still, he expects a solution to be found for Sava Centar if the price is lowered by another 20%.

Sava Centar was recently offered at a tender for EUR 21.9 million.

Earlier attempts at a sale

Let us remind that the sale of Sava Centar was announced in November 2019. The city first started looking for a partner in 2016, when a public invitation for the founding of a joint business entity opened.

A new public invitation opened in late 2017. The potential partner was expected to renovate the congress and general infrastructure of the center.

The City of Belgrade and Delta started direct negotiations in mid-2018. They proved to be unsuccessful and it was announced that a concessionaire would be sought for Sava Centar.

No bids were sent at the previous tender, which opened in August 2020.

Delta Holding is interested in purchasing Sava Centar, under, as they told our portal, “economically acceptable conditions”.
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