Professional Documents
Culture Documents
Study
April 2010
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Contents
1. IMPORTANT NOTICE..........................................................................................................3
2. GENERAL FRAME..................................................................................................................4
The Republic of Serbia................................................................................................................4
Stara Planina..................................................................................................................................6
Project background......................................................................................................................9
3. OVERVIEW OF THE PROJECT......................................................................................10
Long-term concept.....................................................................................................................10
First phase of tourist offer development on Stara Planina.........................................14
4. MODEL FOR PROJECT IMPLEMENTATION.........................................................17
Model for project implementation........................................................................................17
Investments...................................................................................................................................18
Who is potentially suitable partner for Serbia in this project....................................20
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1.
IMPORTANT NOTICE
Mirjana Doni-Beaton
Coordinator of Sales &
Cooperation with Co-Investors
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2.
GENERAL FRAME
Official name:
The
South
East Europe
Geographic position
:
Climate:
Continental
Official language:Serbian
Main religion:
Christian Orthodox
Currency:
Dinar (RSD)
Capital:
Space:
2
88.361 km
Population:
7.498.001(census 2002)
Time zone:
Economic situation
In early 2001. Serbia began wide process of reforms, including also far-reaching
reforms of economic area, with the purpose of achieving of macroeconomic
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stability and creating basis for long term growth. Republic of Serbia realized in
2007. significant positive results in terms of economy growth, export growth,
improving of economic efficiency, growth in financial area, inflow of foreign
direct investments, and growth of foreign exchange reserves, together with high
foreign trade deficit, keeping of unemployment at high level, high appreciation of
Dinar, growth of public spending, and growth of earnings above the productivity
growth.
Basic assumptions of macroeconomic scope for growth and stability of Serbian
economy in the next three years are as follows:
Leading of strict fiscal and monetary policy, that should create basis for
macroeconomic stability;
Acceleration of structural reforms, particularly finishing of privatizatiuon of
remaninig public companies and accelerated restructuring and privatization
of the state companies;
Strengthening of private sector that will create new investments, exports and
new jobs, and in that way employ workers who are losing jobs in the process
of transition, particularly young people who are finishing the education
process;
Improvement of business climate and creating of competitive environment as
preconditions for new invesments and change of production structure.
Realization of planned activities will result in dominant share of private sector in
the economy after the privatization of existing and founding of new companies,
then in establishing of complete legal frame for functioning of market economy
mainly through passing and implementing of system laws harmonized with EU
regulatory rules and WTO principles, and based on all that it will be
demonstrated in active role of the Government in creating the economic policy
and improvement of business environment and countrys credibility.
Duty-free approach to the free trade zone of South East Europe, which has
around 60 million customers
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The only state out of CIS with a Free Trade Agreement with Russian
Federation
It is still not a member of EU; higher flexibility and advantages for investing
The lowest corporate profit tax in Europe (10%)
Skilled labor force at relatively low costs
Highest percentage of English language speakers in South East and Central
Europe
Equal treatment of foreign and domestic investors
Serbian tourism
Today, main tourist products of the Republic of Serbia are: spa centers and
climate resorts (Vrnjacka Banja, Soko Banja, Banja Koviljaca, and Banja Kanjiza),
mountain destinations (Kopaonik, Zlatibor, Divibare, and Tara), city centers
(Belgrade, Novi Sad and Nis) and events (EXIT, Guca).
Tourist products of Serbia, being spontaneously developed for domestic market
requirements, do not follow tourism trends present on the global tourism market.
However, Serbia is now in situation to take advantage of its starting position, to
shape internationally competitive offer and achieve a significant growth in
tourism sector.
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Stara Planina
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Stara Planina is located in Eastern Serbia (one third of the mountain is in Serbia,
two thirds are in Bulgaria). Area covered by Stara Planina tourism development
plan is referring to an area of Stara Planina on the territory of Serbia which
belongs to municipalities of Zajear, Knjaevac, Pirot and Dimitrovgrad.
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Midzor (2169 m)
Tri cuke (1937 m)
Srebrna glava (1933 m)
Orlov kamen (1737 m)
Tupanar (1727 m)
Sveti Nikola (1380 m)
Vetren (1330 m)
Babin zub (1748 m)
Tresak (1000 m)
Crnoglav (764 m)
Among natural preserved masiffs of high
mountain chains, Stara Planina, besside
mountains of Sara, Tara, Prokletije and
Kopaonik represents one of the most
precious tourist region in Serbia. Stara
Planina spreads over 4 municipalities:
Zajear,
Knjaevac,
Pirot
and
Dimitrovgrad, covering a surface of 3.985 km.
Stara Planina represents natural treasure of extraordinary importance. It is in
the first category of national treasures and it is decreed to be National Park.
Extraordinary natural potential od this region (preserved nature, Zavojsko lake,
diversified flora and fauna) are complemented with historical monuments (ethnovillages, Temska monastery, Gamzigrad and other) as well as spa objects in Niska
Banja, Soko banja, etc.
Stara Planina is covered with snow for almost 5 months per year in the altitudes
between 1.100 m and 1.900 m. That characteristic represents excellent potential
for construction of long ski slopes for Alpine skiing, and there are also suitable
places for construction of accommodation capacities in the bottom. Beside the
great capabilities for Nordic skiing, hunting, fishing, and summer recreation,
additional tourist potential of this mountain are the villages in the bottom of the
mountain, healthy food and ecological energy that allows development of
additional activities such as agriculture, cottage industry and handicrafts, etc.
The nearest airport is situated in Nis, 70 km from Stara Planina. Proximity of Nis
Airport provides easier access to the region by emitive markets.
Railway network consists of Nis Knjazevac - Zajecar line, and the other side line
Nis Pirot - Dimitrovgrad.
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Highway Sid - Belgrade - Nis connects Eastern Serbia with Belgrade. Nis is
linked by motorway (M 25) to Knjazevac and further to the north to Zajecar.
Knjazevac and Pirot are connected by regional road (R 121), which goes through
Kalna and further to Dimitrovrad.
It is planed a construccdtion of motorway which directly conect highway
Beograd-Dimitrovgrad with Jabucko Ravniste in total lenght of 33 km.
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Project background
Goals and objectives of Stara Planina project
According to the Tourism development strategy, Republic of Serbia has a
significant potential for mountain tourism development. Development of summer
and winter mountain resorts, including Kopaonik, Stara Planina, Golija and Besna
Kobila, is planned to provide Serbia competitive position on the global tourism
market.
Stara Planina project represents the first green field project for the development
of summer and winter mountain resorts in the Republic of Serbia in the last
twenty years.
It is the first tourism project in Serbia to be planned and developed according to
international planning and development standards.
The main goals and objectives of Stara Planina Resort area Master plan are listed
below:
The development that will respect the natural, cultural and ecological values of
the site.
Provide a balance in the offer of ski trails for all 7 skier skill levels.
Balance mountain capacity with guest services, capacity of Jabucko ravniste and
parking.
Develop a childrens beginner area with terrain suitable for teaching and snow
play for all family members.
close proximity and gravitation to Stara Planina (up to one hour drive) urban
area of around 700 thousand people (Nis, Knjazevac, Zajecar, Pirot, Dimitrovgrad
and other surrounding settlements);
increasing market for ski tourism in Serbia that is estimated to 3 million skierdays in 2015, and primarily expected good connectivity to Belgrade;
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borderline through Stara Planina connecting Serbia with Bulgaria that currently
experiences boom of summer and winter mountain tourism;
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Kalna is, connected by new traffic solutions, available to all urban centers in the
area and Belgrade (Svrljig and Ni to the West, Knjaevac and Zajear to the
North, Pirot to the South, as well as to Jabuko Ravnite, central place of Stara
Planina base area);
Maximum long-term Skiers Carrying Capacity (skiers per day) on Stara Planina
is estimated to be 26.840 skiers per day summing up maximum skiers
Carrying Capacity for each ski slope location;
Ski area will cover approximately 600 hectares, with a total length of ski slopes
of 160 kilometers (including ski slopes and skiing connections). Ski area is
located on terrain that spans all aspect directions, and has elevations ranging
from 865 meters up to the 2,070-meter elevation (and one access lift reaching
down to 695 meters);
Ski center will be contained of ski slopes of different complexity, length and
average slope level, that will be mutually connected with system of around 30
ski lifts of various type/capacity, i.e. capacity: 22 major ski lifts (chairlifts and
gondolas), two transportation platters in base area and 4 learning centers
containing smaller beginner lifts. Furthermore, various F&B objects will be
spread around the ski slopes within the ski center in order to enable
availability for users on skis;
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Jabucko Ravniste will represent a main village, central point of Stara Planina
base area which shall be the location of the main commercial contents, major
part of accommodation offer and other capacities of tourist offer (beginner
skiing zone, aqua park, fitness center and other recreational amenities).
Jabucko Ravniste is located on a mountain plateau with expansive views, close
to the 1,470-meter elevation.
Babin Zub, Leskova Ravan and Golema Reka locations, which are near the
base area Jabucko ravniste as a central point, are planned as apart of base
area. On Leskova Ravan location additional accommodation capacities will be
built in later development phases, while Babin Zub and Golema Reka locations
should be used as parking places (garages);
Base area services offer will be developed using world best practice and
experience from not only developed countries, but from increasing number of
development projects in transition countries as well. This business development
model is known as condominiumization.
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Base area Stara Planina long term development concept (total accommodation
capacity), with the total number of skiers accomodated in the base area is given
in the following table:
Total accommodation capacity and number of skiers accommodated in the base area
LOCATION
Accommodation
JABUCKO RAVNISTE
1. Destination hotel
2.
Village / condotel
3.
Family mini hotels
4. B&B pensions
5.Houses for several families
6. Single family "Chalets"
7.
Apartment units
SUB TOTAL
LESKOVA
8.Houses for several families
9.
Village/condotel
10. Apartment units
SUB TOTAL
TOTAL
Source (of information) Ecosign, 2007
units
Beds
705
1.557
387
215
304
173
1.573
4.914
1.901
6.228
1.161
645
1.520
1.038
6.083
18.576
2,7
4,0
3,0
3,0
5,0
6,0
3,9
3,8
1.231
4.040
752
418
681
250
3.939
11.311
145
840
260
1.245
6.159
725
2.520
1.040
4.285
22.861
5,0
3,0
4,0
3,4
3,7
325
1.633
674
2.632
13.943
Long-term Base area development concept of base area Stara Planina is given
in the following illustration:
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first phase of the tourist offer development on Stara Planina is based on the
following:
The first phase of ski system development will include ski trails of 94.7
hectares with total length of 21.1 km. The skiways and other connection pistes
cover a further 13.1 hectares over 8.8 kilometers for a total length of 29.9
kilometers, covering 107.7 hectares
The first phase of ski center plan for Stara Planina is given in the following
illustrations:
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All other service capacities and elements of the tourist offer are dimensioned in
line with the predicted number of skiers/borders. Defined potential of 5.230
simultaneous skiers/borders dictates the construction of around 6.200 beds in
the Jabuko Ravnite area, distributed according to the following
accommodation structure:
Accommodation capacity and number of skiers in the base area in the first development ph
LOCATION
Accommodation Number
JABUCKO RAVNISTE
1.
Destination hotel*
2. Village accommodation (Condotel)
3.
Family mini hotels
4.
Houses for several families
5.
B&B pensions
6.
Single family "Chalet"
Total
Source: Ecosign, 2007
units
231
721
387
136
60
90
1.625
of beds
578
3.053
1.161
680
180
540
6.192
Number of
skiers
374
1.950
752
305
117
130
3.628
*1 A phase
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Thus, the first phase of Jabucko ravniste base area can generate a total of
3,628 skiers from 6,150 beds of accommodation and an additional 1,602 skiers
from day skiers.
All buildings within the tourist village will be two to three floors high with one
forseen underground level for garage. One parking place per accommodation
unit in condotels is foreseen and 0,7 parking places per accommodation unit in
hotels.
Regarding the planned recreational facilities, "spa & water park", recreational
center, skiing beginners zone and snow games should be pointed out. Big
indoor pool, saunas, steam baths, fitness room and a number of squash courts
will be situated on the ground level within this center. Wellness treatment and
massage facilities will be situated on the first floor. It should be also pointed
out thatb the center will also contain big area for outdoor fun and recreation,
containing outdoor pool, slide system, jacuzzi baths, etc.
Regarding the size of the tourist village, and in purpose of easier orientation,
first phase will include central reception and information centre that will
enable guests to easier find their accommodation and orientate upon arrival.
The first phase of the base area, which could be subject to change during
production of the detailed Regulation plan, is is given in the following
illustrations:
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Brief information
4.
MODEL FOR PROJECT
IMPLEMENTATION
Model for project implementation
Government of the Republic of Serbia decided to realize the development Project
Stara Planina 1A phase, in the part related to the construction and management of
the Resort Jabucko ravniste, through contractual - partnership relation with
strategic partner or co-investor.
This because, above all, it is a project that seeks engagement of a significant
financial assets and because, on the other side, the Republic of Serbia do not have
appropriate experience in this area (construction and management of the resort).
Proposed model is in accordance with valid legal system of the Republic of Serbia
and already existing practice in construction of significant objects.
Contract model represents complex legal work essentially consisting of two
separate possibilities:
-
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For that purpose, immediately after obtaining of use licence, the investor delivers
the whole object to the strategic partner for management, who in return for is
obliged to manage the resort pursuant to necessary standards as a good and
conscious partner, higly specialized for this kind of business and to pay for it an
annual allowance to the debit of total income, i.e. profit.
Investments
An estimate of the necessary amount of the investment for the construction of all
planned facilities for the first phase of Stara Planina project is based on usual
expenses of the similar objects construction in the world, corrected concerning
specific construction market conditions in Serbia. In that sense, global investment
structure for the object is shown in recapitulation.
Investments in ski center Stara Planina
Description
Project preparation
Permanent buildings
Ski lifts
Ski slopes and artificial snow
Roads and parking
Mountain infrastructure
Vehicles and special equipment
Other
Total
Reser.
TOTAL
000 EUR
1.934
12.140
15.750
15.463
775
1.233
1.649
2.602
51.546
5.155
56.701
Based on the predictable size of built areas according to purpose, total necessary
investments in ski center are estimated to 56,7 million euros.
Total necessary investments in the 1 phase of the tourism development of Stara
Planina are estimated as follows:
Total business investment, including Stara Planina ski center
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EUR
26.670.400***
25.490.000
66.093.000
10.873.600
10.950.000
2.825.000
3.281.250
7.850.000
56.700.600
210.733.850
*1 A phase
Thus, total business investments for the 1 phase are estimated to 210,7 million
euros, including 154 million euros investment in tourism accommodation and other
infrastructure and 56,7 million euros investment in the system of ski trails, ski lifts
and other elements of ski and recreational offer.
Future ski center and ourist village on Jabucko Ravniste is necessary to be
connected with the existing infrastructure network in the bottom of Stara Planina.
Apart from the modernization of the existing roads, the point is in connection with
the existing electric, sewage and water systems and telephone network. All the
necessary investments connected with infrastructural connection of Jabucko
Ravniste with the existing infrastructural systems in the bottom of the mountain
(out of the boundaries of base resort) will be done by public sector, and the amount
of the investment is as follows:
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Option I
5 to 6 million EUR
Road infrastructure -
Option II
6 to 7 million EUR
2 to 3 million EUR
SEWAGE SYSTEM
4 to 5 million EUR
TOTAL
4 to 5 million EUR
around 2 million EUR
around 0,5 million EUR
24 to 29,5 million EUR
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Brief information
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