INVgolf / Controversial Black Sea golf resort back on track, say developers / Bulgaria

Controversial Black Sea golf resort back on track, say developers

October 17, 2004 -- The new Dublin-based developers of the controversial Pomorie Golf & Beach resort in Bulgaria have said that 75% of the project will be completed by next summer, as quoted by today's The Sunday Business Post, Ireland's financial, political and economic newspaper.

The Sunday Business Post on-line edition also reports that deposits paid by Irish investors totalling EUR 12 million will be protected.

Investors in the troubled resort, now known as the Sunset Resort Bulgaria, will receive an information pack from foreign property estate agency Platinum Developments on the future of the project in the coming days.

Building recommenced on the project on October 4 with four of the five main apartment blocks scheduled for completion next summer. One remaining block is due to be finished the following summer.

Over 400 investors paid deposits on the development of the project, which was thrown into a deadlock when the assets of developer Capital Ground Building Investment N.V., registered in The Netherlands, were frozen last June.

Besides British agents, the main Irish selling agents were Platinum Developments and B&D Bulgarian Properties.

The project faced collapse when builders ceased work with only 10% of the resort completed. Planex, the main local contractor, attempted to bring the former owners to court, but this was called off following the intervention of Mr. Neil O'Reilly, Managing Director, Platinum Developments. O'Reilly declared he would not allow the project to collapse and that no "fundamental" changes to the resort are planned. He said a new resort price list would be published soon and he predicted price increases of 15% to 20% "depending on the unit's size and location".

However, plans for a 50-metre Olympic-size swimming pool have been dropped to make way for an outdoor "aqua facility'' and a number of other "minor'' alterations have been mooted.

"There have been many positive changes made to the concept of the resort and none so much to change what is fundamentally unique about this resort and its location," said O'Reilly.

"These changes are with good reason and foresight and will promote the capital appreciations we were all keen to reach."

Platinum Developments claims that the development will be the biggest of its kind on the Black Sea coast and will cover a total of 125,000 square metres. An on-line brochure will be made available this week, The Sunday Business Post on-line edition revealed.

Source: The Sunday Business Post / Thomas Crosbie Media TCH (story by Paul T. Colgan).

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