The Croatian government this week gave its consent to the State Assets Ministry to sign with the Avenue Ulaganja investment company an annex to a contract on the Kupari 1 tourism development project, defining new deadlines for submissions of a letter of intent from the new hotel operator and physical planning data.
In March 2016, the government signed with the bidders Avenija Ulaganja and Avenue Osteuropa a contract the realisation of Kupari 1, a project estimated at over HRK 700 million. Under the contract, the investor was supposed to submit by September 2016 physical planning data to Zupa Dubrovacka Municipality and a contract signed with the hotel operator to the relevant ministry. Since the investor failed to comply with its obligations, project realisation has not even begun, said State Assets Minister Goran Maric.
Initially, Avenue Ulaganja planned for Kupari 1 a partnership with the Marriott hotel chain and the Ritz-Carlton brand, but the operator cancelled and the investor announced a letter of intent with a new operator.
The investor has agreed to all the changes and a contract was signed in early March, Maric said, adding that the annex provided for cancelling the contract if the investor failed to comply with the deadlines.