"A completely devalued asset": UDP developer on the future of the Bolshevik plant

The Bolshevik plant, the first facility to be sold as part of a major privatization after its relaunch, has now effectively become an impaired asset. About it said CEO of the development company UDP Andrey Semenov in a comment LIGA.net.

"Objectively, if you evaluate the investment from the perspective of a strict investment logic, it can be considered a completely depreciated asset today."semenov noted.

A modern residential neighborhood was planned to be built on the plant's 35-hectare site near the Shuliavska metro station in Kyiv. Investors from Germany, Poland, the United States, China, and Singapore were interested in participating in the project.

However, immediately after investors paid UAH 1.39 billion for the lot, the court seized the asset. The SBI opened a criminal investigation into possible abuses by officials of the State Property Fund in the process of selling the property.

All work at the plant has now been stopped, and the project is effectively frozen. Additional problems were caused by Russian shelling, which destroyed part of the plant's structures.

At the time of the sale, Bolshevik was almost out of business, but it had strategic value precisely because of its size and location.

• In January, it was reported that the building of the fifth shop of the First Kyiv Machine-Building Plant, formerly known as Bolshevik, would be demolished dismantled for UAH 80.5 million to ensure the reconstruction of the Shulyavska interchange.