Riga, June 16 (LETA) - Real estate developer Sirin Development has completed the registration of 14 land plots in the vicinity of Riga Airport and plans to start developing them in 2027, investing about EUR 70 million in the construction of warehouses and broader infrastructure over a period of six to eight years, the company informed LETA.

The company explained that the site is located next to the newly built logistics park Sirin Park Marupe. The total area of the site is 217,600 square meters and it is planned to build a high-end logistics and industrial park with the aim of making Sirin Park Marupe a strategic hub for air, road and rail freight transport.

Sirin Development expects that the development of the logistics park will serve as a catalyst for further environmental improvements and upgrading of the local infrastructure. The construction of the park and the redevelopment of the area will also create approximately 700-800 new jobs.

Laurins Kuzavs, CEO of Sirin Development, pointed out that the company is currently working on a new local plan, which could take around one and a half to two years to prepare and approve. The company also plans to work closely with the Riga municipality and representatives of Riga Airport during the design process.

He said that the start of construction work depends on the approval of the new local plan, but it is expected to start in 2027. The first phase of the new logistics and warehousing facilities in the third phase of Sirin Park Marupe is expected to be completed within nine months of the start of construction.

The company explained that Sirin Development took part in a public auction of 22 land plots by the Riga Municipality in 2022 and won with the highest bid. After the conclusion of the purchase agreement, the company fully complied with all its obligations, but failed to fully register the ownership rights in the Land Register because the Transport Ministry decided that some of the land plots sold to the company were still needed for the implementation of state administration functions in the field of transport.

Sirin Development pointed out that a final agreement was reached between all parties in April 2025, with 14 of the 22 land plots to be transferred to the company for the construction of the logistics park.

As reported, on June 15, incumbent Riga Mayor Vilnis Kirsis (New Unity), announced that the privatization and transfer of the land plots near Riga Airport to the state had been completed, with the result that the state acquired the land plots it was interested in, and the investor acquired the land it needed.

As Uldis Rakstins, Director of the Finance Department of Riga City Council, explained to LETA, initially 22 land plots near Riga Airport were sold at an auction for EUR 5.7 million. Subsequently, the Prosecutor General ordered the municipality to restore its possession and ownership rights to the land plots because the airport's development interests were not taken into account

Difficult negotiations resulted in the state acquiring ownership of eight of the 22 land plots. For these, Riga City Council reimbursed the investor just over EUR 2 million. The remaining 14 plots have been registered in the Land Register in the name of the investor.

As reported, 22 land plots were purchased by Cella Investment 3, a company related to Sirin Development, at a Riga City Council auction in 2022 for EUR 5.7 million. Both companies are part of the Lithuanian-registered holding company ME Holding NT.

On April 28, 2022, a land purchase agreement was concluded between the winning bidder Cella Investment 3 and the Riga City Council.

The land plots were sold to the company even though during the expropriation process the Transport Ministry warned the municipality not to sell the 22 land plots located near the airport, as they are within the territory necessary for the future development of Riga Airport. The airport also informed that the real estate in question is located in the preferred area for the airport's development according to its development plan until 2036.

Sirin Development is one of the largest logistics real estate developers in the Baltic states. The company has developed energy-efficient and sustainable logistics parks covering more than 700,000 square meters. Sirin Development currently manages 497,000 square meters of logistics properties in the Baltic region.

Sirin Development has also registered a Latvian subsidiary, SIA Sirin Development, in 2022, which in 2024 had a turnover of EUR 549,525 and a loss of EUR 49,231, according to Firmas.lv. The Latvian subsidiary has a share capital of EUR 402,800 and is owned by ME Holding NT of Lithuania.