Investment Proposal
"Construction and operation of boarding house
in a resort zone "Veseloye" of Sudak resort area"

This offer is developed on basis of draft design of boarding house for 156 people. Archi-tectural and planning department of Crimean Scientific-Research and Designing Institute devel-oped this draft design on the instructions of state farm - factory "Veselovsky". The given proposal is developed in order to attract a potential investor for the activity on the Sudak priority development territory.

Contact person: Nikolay Makuha - director of state farm - factory "Veselovsky", branch of the Scientific Production Agro-Industrial Association "Massandra". Address Veseloe settlement, Sudak, 98031, Ukraine, phone (06566) 37230, (06566) 37303.

To get additional information on the Project please address Economics Department Execu-tive Committee of Sudak Municipal Bodies: 85-a Lenina Street, Sudak, Crimean Autonomous Re-public, Ukraine, tel. 38 (06566) 22096, fax 22492.

Mission of the Investment Proposal
According to decision of Veselovsky rural Council from September, 14 of 2002 there is a ground area of 3,0 hectares assigned for construction of a boarding house for state farm - factory "Ve-selovsky". The land plot consist of 0,57 hectares with an abrupt slopes, and other 2,43 hectares allow to allocate a boarding house for 156 vacationers.

Fig. 1. Land lot location

As initiators of the investment offer assume the investment can be made in two forms, ac-cording to current legislation of Ukraine:
- In the form of joint enterprise creation together with state farm - factory "Veselovsky" where in-vestor provides financing construction and purchase of the equipment, and other partner organizes construction and operation of the boarding house;
- On the base of joint investment activity contract according to Ukrainian legislation.

Particular conditions of sides on issue of participation in joint venture enterprise authorized capital filling or joint activity terms will be determined during negotiations with potential investors.

Description of area and platform of construction
The area for construction is a southeast coast of Black sea in 3 kilometers from Veseloye settle-ment and 12 kms from Sudak. It looks like amphitheater, protected by mountains from three sides and open for the sea from one side.

 

Fig. 2. The boarding house outline.

Presently the land lot for the boarding house construction is empty of any buildings and borders to existing ineffective vineyards, which are subject to grubbing.

The land lot relief has defined terraced type of resort complex buildings.

Suggested variant of the housing scheme:
Objects of construction of the boarding house:
- The administrative housing with easting establishment and bar;
- The sleeping housing for 156 people;
- Leisure center (a billiard hall, disco-bar);
- Parking place for personal motor transport of holidaymakers;
- Two places for rest;
- Sports ground (tennis court, volleyball platform);
- Covered swimming pool with sea water, a training hall and sauna;
- Parking place for guests for 40 motor vehicles;
- Household housing;
- Check-point;
- Fence along perimeter of territory;
- Stand-alone wastewater clearing constructions.

The total sum of the investments required for realization of the project makes 2,888 million USD.

The main incomes are planned to receive of hotel, cottages and sports complex operation. Sources of additional incomes will be: operation of bars, pool, courts, sauna, body building hall, ex-cursion service, delivery of passengers and clients to the point of departure (airport, railway station) and etc.

Payback period (PP), not discounted- 7,9 years

Economic impact of the project and its social importance
As a result of the project on its third year 80 workplaces will be embed. The object of resort-tourist service will be implemented.
The new object a resort - tourist service that corresponds to the world standards will be constructed and it should to exert essential influences on tourist image of Sudak.
Additional funds as taxes and dues in the sum 0,8 million USD for 9 years of the project will be involved in to the state budget.

Fig. 3. View on a boarding house from quay

As the basic results of the project:

" Creation of health-improving complex;
" Attraction of clients from among representatives of average business and wine-making industry of Ukraine;
" Maintenance of steady development of the enterprise due to strategy of the advanced complex of hotel and sports - recreational services rendering and orientations to the most solvent segment of consumers of such services;
" Maintenance of gross revenues of the enterprise in the sum of 1 million USD (for 9th year of the project), and net profit more than 0,4 million USD for the same period.

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