PIK plans to construct an urban area with 1.1 million m[sup]2[/sup] of net sellable space on an 124-hectare site the Russian residential developer has acquired in the Russian city of Perm. The development will be the first phase on a large site totalling 500 hectares which the local authorities in Perm have earmarked for real estate development.

PIK plans to construct an urban area with 1.1 million m2 of net sellable space on an 124-hectare site the Russian residential developer has acquired in the Russian city of Perm. The development will be the first phase on a large site totalling 500 hectares which the local authorities in Perm have earmarked for real estate development.

The Russian developer said it will provide additional infrastructure, such as schools, a kindergarten and roads, in co-operation with the local authorities. The development will accommodate 40,000 people when completed. 'The project will transform the residential property market in Perm, offering a vital new source of housing for the city's residents as an alternative to the significant proportion of Soviet era buildings in the city which have become
obsolete,' PIK said in a statement.

Perm is a major river port and the capital city of Perm province. Situated 800 miles east of Moscow on the River Kama, it is the 6th largest city in Russia and has a population of over one million.

PIK has been operating in the area for over a year.