L’viv Railway Station Concession

L’viv Railway Station Concession

The railway station in Lviv is considered as a potential concession object

• L’viv Railway Station – #3 in Ukraine by PAX with  8.3 mln of passengers in 2019 – might be potentially considered for a concession.
• Indicative scope for reconstruction might include main and suburban railway stations located in the adjacency.
• The commercial side of the project might include part of the large-scale commercial development on the adjacent land plot of 20 ha that according to the initial concept envisages 240  thousand of sq m of commercial property,  including retail, offices, and hotels.
• L’viv Railway Station is considered as potential additional concession opportunity to 7 Railway Stations Concession Pilot Project.

To meet the expectations of qualified potential investors and Ukrainian Railways’ objective of attracting private investors, Ukrainian Railways is considering options for structuring first pilot concessions for tendering.

L’viv Railway Station+ 1 options are tendered in a bundle

Based on the regional principle, potential  bundles for the Lviv Railway Station include:

• L’viv + Khmelnytskyi
• L’viv + Vinnytsia
• L’viv + Chop

The possibility of combining Lviv with one of the above smaller stations depends on the results of the L’viv Station pre-feasibility analysis.

_{* Vinnytsia can be an option for the Lviv + 1 bundle if it is not included in the Kyiv + 1 pilot concession}

Objects of concession:

• Railway Stations main buildings,
• Attributable land plots with identified areas for commercial development,
• Passenger facilities.

Railway technical facilities are expected to remain with Ukrainian Railways.

Term of the Concession – 25 years.

The concession fee amount will be determined during the competitive tender process.

Concessionaire’s key obligations:

• rehabilitation, maintenance and operation of buildings and passenger facilities;
• improvement of passenger service level;
• compliance with requirements with respect to new commercial development.

Following market sounding, the Ministry of Infrastructure has made its first priority Kyiv+Vinnitsya project, followed by L’viv+1 and Odessa+1.