A company, registered a mere 20 days ago in the Republic of Armenia, has purchased the iconic Karen Demirchyan Sports and Concert Complex in Yerevan. The announcement was made following the government session on August 12.
The company, NTAA Investment Group bought the property belonging to the Ministry of Defense for $30 million US. Defense Minister Seyran Ohanyan presented the provisions of the sale to the cabinet. “The investment project foresees building a hotel, an enclosed water park, concert halls, conference facilities, restaurants, shops and a casino over a four-year period and will ensure 250 new jobs,” Ohanyan said. The total investment by the new owners is estimated to be over $100 million US.
According to the provisions of the sale, NTAA Investment Group will be obligated to keep the current 99 employees for six months with at least minimum wage; they must keep the facility’s current name, ensure that it continues to be used as a sports and cultural complex, provide the Armenian government, upon request, five events a year free-of-charge, and secure people’s free access to the Armenian Genocide memorial Tsitsernakaberd, which is located on its grounds.
In 2005, the complex was sold to a Russian company owned by Russian-Armenian businessman Murad Muradyan for $5.5 million US with the promise to invest another $40 million for renovations. The complex was re-nationalized in 2014.