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International Internet Magazine. Baltic States news & analytics Friday, 19.04.2024, 14:47

VNI terminates contract with company reconstructing building in Riga

BC, Riga, 12.08.2016.Print version
The state joint-stock company Valsts Nekustamie Ipasumi (State Real Estate, VNI) today unilaterally terminated contract with RBSSKALS Buvvadiba, a company reconstructing the Tabakas Fabrika building in Riga, as VNI representative Arnis Blodons told LETA.

"VNI has unilaterally terminated its contract with the construction company over the latter's failure to stick to the reconstruction schedule," said Blodons, adding that a commission of VNI experts would inspect what has been done and what needs to be done yet at the property.

RBSSKALS Buvvadiba representative Ieva Vaverniece confirmed to LETA that the company's workers were not allowed into the building.


Reconstruction of the building had to be completed this month so New Riga Theater could move into Tabakas Fabrika. This past January, Blodons said that reconstruction of the building had begun on January 6 and had to conclude in August, when the theater opens a new season.


VNI selected RBSSKALS Buvvadiba's bid for the reconstruction project last September. The total amount of the contract was EUR 1,999,590.27, VAT excluded.


Tabakas Fabrika is being reconstruction so the New Riga Theater could move there while the theater's building at 25 Lacplesa Street is being reconstructed. Now, however, New Riga Theater will have to stay there for at least one more season until reconstruction of Tabakas Fabrika is completed, which is currently planned for next spring, as VNI board chairman Martins Tols told reporters today.


He explained that some of the other bidders would be offered to complete reconstruction of Tabakas Fabrika as they "know the project well".


Tols also said that VNI could take RBSSKALS Buvvadiba to court over the company's failure to complete reconstruction of Tabakas Fabrika on schedule.

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