Construction, EU – Baltic States, Good for Business, Latvia, Logistics, Retail

Photo: Lidl.

The festive ceremony was attended by Arvils Ašeradens, Deputy Prime Minister and Minister for Economics, Rolf Schütte, Ambassador of Germany to Latvia, and Nils Ušakovs, Chairman of the Riga City Council.

“We have decided to operate here and to offer the best quality for the best price for the residents of Latvia. At the moment we are at the preparatory stage, and the logistics centre will be the heart of Lidl Latvija. It will ensure fast and effective delivery of products to Lidl stores across Latvia, which will allow us to offer competitive prices and high quality of products. The centre will create hundreds of new jobs, as well as cooperation opportunities for transport and freight companies. It will be a significant contribution to the economy of Latvia,” said Radostin Roussev-Peine, CEO of Lidl Lithuania, responsible for development in Latvia and Estonia.

Lidl, a company that consistently opts for building rather than renting sales space, prides itself with modern, sustainable, and environmentally friendly solutions. The logistics centre located at Ulbrokas Street and occupying 47 thousand square meters will be one of the most up-to-date and technologically advanced logistics centres in the Baltic States. Construction plans provide for the development of a warehouse and adjacent administration building with support facilities and infrastructure. Construction works have been entrusted to the LLC (SIA) Merks, and the contract price amounts to 42.5 mln euros (excluding VAT), but the company plans investments in the amount of around 15 mln euros for the purchase of equipment. Commencement of construction works is scheduled at the end of October 2018, but completion is planned in 2020.

“We are happy to take on jobs that let us grow professionally. Lidl has set very high standards for their buildings in terms of sustainability, energy efficiency, and implementation of innovations, and the precise implementation of these standards will be a good challenge for our team of professionals. The construction of the logistics centre will be led by experienced Merks colleagues that have already proven themselves in implementing large and complex projects. We, together with our partners, will create a building that will completely satisfy the future growth requirements of our client, at the same time putting the surrounding environment in order so that the project also benefits local residents and the city,” states Oskars Ozoliņš, Chairman of the Board of SIA Merks.

Arvils Ašeradens, Deputy Prime Minister, Minister for Economics: "The introduction of such a global player in the Latvian retail sector as Lidl is another indication that we are valued and belong to the part of the world characterized by rapid economic growth, liveliness and productivity. Lidl's planned investments will not only stimulate internal growth and healthy retail competition, but will also strengthen our investment position in the Baltics."

Nils Ušakovs, Chairman of the Riga City Council: “Riga is happy for each new company that begins operations here. Lidl is especially significant for us, as the opening of multiple new stores and the forthcoming logistics centre means large investments into our economy, new jobs for our residents, and taxes for our budget. Moreover, the added commercial competition will allow many residents of Riga to shop both closer to home and with less expense. Riga is open to investments large and small, and we’re always ready for constructive cooperation for the benefit of all our residents.”

The Manifest – a special message for the next generations, signed by the guests of the ceremony, as well as a photograph of the currently empty construction site and visualisation of the planned logistics centre in 2020 – was put inside a time capsule.

The capsule encasement ceremony was also attended by Inguss Vircavs, Head of the Riga City Construction Board, Armands Krūze, Director of the Riga City Development Department, Florian Schröder, Chief Executive Officer of the German-Baltic Chamber of Commerce, Jūlija Sandberga, Chairperson of the Board of the Foreign Investors Council in Latvia, and Andris Ozols, Head of the Investment and Development Agency of Latvia.