Strabag to Build $400M Business Center

VIENNA -- Property developer Otkrytiye has contracted Austrian builder Strabag, in which Oleg Deripaska has a 25 percent stake, to build an office and hotel complex in Moscow for $400 million, Strabag said Thursday.

"In addition to this, the partners are conducting negotiations toward realizing further joint projects worth around 390 million euros [$571.4 million]," Strabag said in a statement.

Strabag said it signed a strategic partnership agreement with Otkrytiye on Thursday. Otkrytiye will appoint Strabag as a general contractor for the building of commercial real estate projects in Russia, the statement said.

Strabag added that it had signed a deal with a subsidiary of PIK Group to build high-rise apartment blocks in western Moscow's Kuntsevo district worth some 80 million euros. The project would include three towers with a total of 70,000 square meters of floor space.