Riga municipality intends to request explanations from Andrejsala developer and investor, real estate developer company Eagle Hills for possible arbitrary action and non-compliance with the memorandum of cooperation, as reported by Riga City Council External Communications Office.
Once explanations have been received, the municipality may decide to unilaterally abandon the cooperation agreement.
Currently the vision for the development of Andrejsala available in the public space does not comply with the initial concept that was presented to the municipality prior to the signing of the memorandum, nor is it in line with the existing urban spatial plan.
According to experts from the City Development Department (PAD), such a dense construction scale on the bank of Daugava River in Riga is not allowed, and the height of the planned structures is probably not in line with the spatial planning documents either.
Riga municipality emphasizes that it agreed to the memorandum of cooperation with the developer “Eagle Hills”, assuming in good faith that the developer would comply with the terms of the memorandum both by letter and by spirit, as well as assessing the investor’s intentions to develop a degraded territory.
At the same time, the developer’s activities currently demonstrate arbitrary actions that are unacceptable to the city. The municipality does not accept such actions from the investor, so a letter to the developer is being prepared, with a request for explanations. Once the requested information has been received, the municipality will decide on the next steps, while retaining the right to unilaterally withdraw from the memorandum of cooperation.
The municipality notes that the cooperation memorandum signed with Eagle Hills at the beginning of the year is the continuation of the memorandum signed in spring 2023 by then Mayor of Riga Mārtiņš Staķis the memorandum on the importance of the Riga Waterfront Development Project and the principles of cooperation, which has been signed with the company “Riga Port City” owned by the family of politician Ainārs Šlesers (LPP).
LETA previously reported that United Arab Emirates businessman and real estate developer company Eagle Hill Properties manager Mohamed Ali Alabbar
plans to build housing for 30 000 residents as part of Riga embankment development project “Riga Waterfront”, as LETA was told by the project developer’s representatives.
According to the founder of Eagle Hills Properties, the goal behind Riga Waterfront is to “develop and reinvigorate Latvia and its capital city of Riga by positioning it as the new European centre”.
With a total planned investment volume of three billion euros, it is planned to restore the embankment, which will stretch for five kilometres along the bank of the Daugava River, will be designed in such a way as to turn the Andrejsala area into a new centre. The project is conceived as new and essential core of Riga that will include residential buildings, green spaces and direct access to water.
The project plans that more than 30 000 residents will live in about 8 000 homes. Hotels with more than 1 000 hospitality offers are also planned – ice skating rinks, a modern cruise terminal, a spacious shopping mall and public squares. The project envisages that the territory of the old power plant will become a shopping place and a gastronomy centre.
Representatives of “Eagle Hills Properties” indicate that investments in the development of the project open up opportunities to acquire residence in Riga, and, starting with investments from EUR 250 000, offer the opportunity to gain advantages within the framework of European Union residency programs.