Auction announced for the sale of 100% of shares in Avicenna Sochi

The Auction House of the Russian Federation has scheduled an auction for the sale of 100% of shares in Avicenna-Sochi, the company that owns the hotel in the center of the capital of the 2014 Winter Olympics. The auction is scheduled for 25 April. The format will be the Dutch auction (in decreasing steps).

The main asset of the company is a seven-story hotel building with adjacent buildings and a parking area. The property was completed in 2010, and permission has been received for putting it into operation.
Hotel area – 4 406.1 sq.m.
Number of rooms - 48.
Area of land plot – 1 406 sq.m.
Address: Sochi, Central district, ul. Ordzhonikidze, 9.
The hotel is located near the beach, five minutes’ walk away.

The property also includes the “Belye Nochi” restaurant, with a restaurant zone of 202 sq.m., and a zone for a medical center with a total area of over 300 sq.m.

Starting price of package – 580 million rubles.
Cut-off price (minimum price) – 420 million rubles.

Konstantin Raev, First deputy general director of the Auction House of the Russian Federation:
“The property is located in an attractive investment district, in the center of Sochi, in direct proximity to the shoreline, near popular leisure establishments. The rooms in the hotel will be in constant demand all year round, not only during the season peak, as in this part of the city there is a need for new hotels.
It should also be noted that the presence of independent zones – a café, restaurant and medical center – will provide revenue from related services that is comparable with the revenue from the hotel rooms. This is undoubtedly a profitable investment.”