Baltic, Good for Business, Investments, Real Estate

The company was founded by the Canadian engineering company SNC-Lavalin Group and Homburg property company's company Homburg Valda, which is already represented in the Baltic countries, writes LETA.

SNC-Lavalin Homburg Property Management Director Algirdas Augustaitis said the establishment of the joint venture had been fostered by the experience of Homburg Group in the Baltic countries, and the Baltic market's development potential, especially in the public-private partnership area.

"It is not just developed countries, and not only at a time of economic hardships, that infrastructure development encounters capital insufficiency. In Canada, public-private partnership is commonplace, and it will be good for Latvia to make use of our positive experience," said Augustaitis.

The operations of SNC-Lavalin Homburg Property Management will mostly be targeted at shopping, office and logistics centers. Augustaitis is confident that the main advantage of the new company is the price-quality relationship, which is better than that currently available on the market.

SNC-Lavalin Group was established in 1911; it is one of the largest engineering, construction and property management companies in the world. The company employs 24,000 people, its revenue totaled CAD 6.8 billion (LVL 3.7 billion) in 2010.

Homburg Group has been investing money in property development and management in the Netherlands, Canada and the United States for more than 40 years. The company entered the Baltic region ion 2005, whereas in 2007, Homburg Group concluded the largest commercial property deal in the Baltic countries, when it bought 54 office buildings from SEB banka for almost EUR 200 million.

At the moment, the Baltic property portfolio of Homburg Group is worth EUR 250 million.