previous image button
next image button
close fullscreen container

SRE: In 2021, construction works were completed in 29 objects for 38.77 million euros, 103 properties were sold for 5.64 million euros, 43 degraded buildings were demolished.


“Under the supervision of SJSC “State Real Estate” (SRE), in 2021 construction works were completed in the development of 29 objects of national importance for 38.77 million euros. The most significant of them is the completed complex of the Museum of the Occupation of Latvia and the Memorial “Historical Tactile” at 1 Strēlnieku Square, Riga, as well as the renovated facades of six buildings of national importance. 103 state properties were sold for 5.64 million euros, creating new development opportunities for them. The number of degraded buildings managed by SRE has been reduced by 43 buildings,” informs Renārs Griškevičs, Chairman of the Board of SRE.

From the 54 development projects currently managed by SRE with a total project budget of 223 million euros, the most significant in 2022 are the construction of the New Riga Theatre at its historical address at 25 Lāčplēša Street, Riga, and the renovation of the oldest convent or kastel part of Riga Castle. In 2021, SRE implemented 29 development projects for 38.77 million euros, while in 2020 - 17 nationally significant development projects with a total budget of 29.5 million euros. Trusting in the competence of SRE, in 2021 two new, significant projects were also handed over to the capital company for implementation - the reconstruction of the Saeima building and the construction of the External land border. Both projects were responsibly launched last year, with the highest priority given to the External land border construction project. The work performed under the supervision of SRE in 2021 in the development of objects important to the state is summarised in the video story.

“The main development goals of SRE in 2022 are satisfied customers, engaged and motivated employees, sustainable operations and property management and development, which also includes the improvement of the future office development concept. Together with industry experts, SRE has already started work on various industry guidelines in 2021, such as the sustainable construction guidelines, which will be published in the second half of this year. In co-operation with the Ministry of Culture and the National Cultural Heritage Board, work is continuing on the development of criteria for the evaluation of cultural heritage, which will allow the faster and more accurate assessment of the future development opportunities of state-owned objects,” R. Griškevičs points out.

In 2021, SRE signed 100 sales agreements for 5.64 million euros, giving the properties new development opportunities, including the sale of 35 degraded buildings. The largest objects sold are the historical building at 27 Raiņa Boulevard, Riga (2.3 million euros) and the former building of the Literature and Music Museum at 75 Tērbatas Street, Riga (1.2 million euros), where administrative premises and a reading room were located. In 2022, it is planned to dispose of 60 state-owned properties with a total value of 4 million euros.

In total, in 2021, SRE has reduced the number of degraded buildings in its portfolio by 43 buildings: 35 sold, two handed over to local governments, two buildings demolished (5 Rūdolfa Street, Riga, and Rauziņas Launkalne Parish, Smiltene District), three buildings renovated (Saktas House 32 Brīvības Boulevard, Riga, Office of the Internal Security Bureau 1A K. Valdemāra Street, Riga, and Staņislava Broka Daugavpils Music Secondary School building, 2A Kandavas Street, Daugavpils). At the same time, SRE received 32 new degraded buildings under its management last year, mainly in the regions. Currently, the number of degraded buildings managed by SRE is about 1.2%, of which 95% are category A and B slums. Out of all 1169 environmentally degradable buildings in the territory of Riga, 14 are under the management of SRE.

Last year, based on Cabinet of Ministers Regulation No. 453 of 14 July 2020 “Regulations on Application of Exemption or Reduction of Rent for Properties of Companies of a Public Entity and Controlled by a Public Entity due to the Spread of Covid-19”, SRE provided support to 41 tenants, allocating an exemption from the payment of the rent, its reduction, as well as exemption from the interest on late payments and contractual penalty, if the client is late in making payments.

“The client expects the responsible implementation of projects and attitude towards the environment from SRE as the largest public contracting authority. Last year, we actively worked on the implementation of these aspects in the core activity of the company. This effort was recognised by the Institute of Corporate Sustainability and Responsibility - we are among 23 Latvian companies that received the platinum award in 2021. This is recognition for determined purposeful and long-term work - streamlining the company's internal processes, making them understandable, transparent both to the public and the supervisory authorities,” R. Griškevičs points out.

RE has set the digitisation of the construction sector as a development priority. We are actively working on the development of BIM (Building Information Modelling) not only in the projects entrusted to SRE, improving the efficiency of the company's internal processes, but also in the Latvian public sector in general. BIM guidelines on compliance with BIM requirements in public sector procurements have been developed together with the Ministry of Economics. In 2021, SRE organised and in 2022 will continue to organise training for employees of state and local government institutions on the implementation of these requirements. In 2020, SRE implemented a BIM pilot project at 7 Aspazijas Boulevard, Riga, but currently SRE is already implementing 17 BIM projects, including for the concert hall of Large Guild, the Riga Castle convent or kastel part, New Riga Theatre and the historic Gūtšmitu House in Ventspils, which helps to rebuild and renovate buildings more efficiently and save costs. With the increase in the number of BIM projects, SRE has expanded the possibilities of digital tools, which provide the opportunity to perform laser scanning of premises and buildings in complex projects, as well as better project preparation.

Strengthening the overall safety and construction supervision of the company and the industry in general is also a priority for SRE. In two years, knowledge and resources in this area have been significantly expanded. In the most complex projects with a larger construction volume or cultural heritage, SRE also performs internal construction supervision. The company's team is currently working on construction supervision guidelines for the industry to enhance the quality of the industry's expertise. The guidelines are scheduled to be released to the public in mid-2022.

SRE currently continues works on 54 different construction sites of national importance, with a total project budget of 223 million euros. SRE provides professional real estate management and administration for approximately 400 real estate properties with 1100 buildings of 1.02 million square metres and more than 3600 land properties of 9.6 million square metres. The company was founded in 1996 and is 100% owned by the Ministry of Finance.