$3Bln Purchase Planned for St. Pete

Real estate developer PIK Group plans to spend more than $3 billion building high-class living space on 63.4 hectares of land it purchased in St. Petersburg, the company said in a statement Monday.

"On the territory purchased … in one of the most prestigious places of St. Petersburg, the group plans to build some 1,315,000 square meters of real estate," the statement said.

"The volume of investment will exceed $3 billion."

This is the London-listed developer's first land acquisition in the northwestern region of the country, where PIK Group established a subsidiary at the start of the year.

The company has said that as a result of this and other land purchases, it will increase its land bank in the first half of 2008 by 16 percent.

At the beginning of 2008, its land bank stood at 14.2 million cubic meters with a total value of $12.3 billion.