SU-155

SU-155 Group was a Russian vertically integrated group of companies which had been a leader in the Russian building construction industry. Besides building construction and real estate development, the group conducted activities in construction and non-metallic materials manufacturing, mechanical engineering, and investing in land, engineering and public infrastructure. The group headquarters was located in Moscow.

As of 2013, the SU-155 group operates in 54 different Russian cities. More than 100 companies are part of the group: construction material businesses, contractor/construction organizations, non-metallic natural resource procurement enterprises, mechanical engineering outfits, and service companies. The legal name of the group's head company is Closed Joint-Stock Company "SU-155".

In 2015, the company was declared bankrupt.[2]

History

The group traces its history to 1954, when the entity "Stroymontazhtrest Number 3",[3]

Operations

SU-155 operates in the Central (Moscow and the Bryansk, Vladimir, Ivanovo, Kaluga, Kostroma, Moscow, Ryazan, Tver, Tula, and Yaroslavl Regions), Northwestern (St. Petersburg and the Kaliningrad and Leningrad Regions), Volga (Nizhny Novgorod and Penza Regions), Southern (Volgograd Region) and Siberian (Omsk and Novosibirsk Regions and Krasnoyarsk Krai) Federal Districts - 20 regions in total as of 2014.

SU-155 Group's turnover as of 2013 amounted to 114.2 billion roubles[22][23][24] (3.36 billion US$ or 2.46 billion €) (in 2012 - 84.3 billion roubles, and in 2011 - 82.7 billion roubles), including housing sales amounting to 74.8 billion roubles (2.2 billion US$ or 1.61 billion €).

In 2013, the Group built 1.65 million sq. m. of property[25] (in 2012 - 1.43 million sq. m.,[26] and in 2011 - 1.3 million sq. m.[27]), including more than 513 thousand sq. m. built outside of Moscow and the Moscow Region, which amounts to almost 31% of the overall amount of construction (in 2012, almost 640 thousand sq. metres was built in the regions, 45% of the overall amount of construction; in 2011 - 500 thousand sq. m., corresponding to 37%). In 2013, the Group beat the industry (and its own) record of 1.51 million sq. m. of housing built by the company in 2009.[26]

The company is the leading property real estate developer in Russia by revenue from property sales in 2013 (by Vedomosti):[22]

The company is the leading construction company in Russia by revenue in 2013 (by RBC Magazine):[28]

In 2013, SU-155 launched 21 public facilities in Russia:[30] 4 schools, 14 nurseries and 3 polyclinics - this is 42% more by capacity in nurseries and 30% more by capacity in schools than 2012 figures. SU-155 Group spent around 1.9 billion roubles (55 million US$ or 41 million €) on building and fitting out public infrastructure facilities in 2013 - 18% more than in 2012.

SU-155 Group - 74.8 billion roubles (2.2 billion US$ or 1.61 billion €)

PIK Group - 62.96 billion roubles (1.85 billion US$ or 1.36 billion €)

LSR Group - 60 billion roubles (1.76 billion US$ or 1.29 billion €)

SU-155 Group - 3,58 billion US$ (2,71 billion US$ in 2012, 2,81 billion US$ in 2011[29])

Tashir Group - 3,30 billion US$ (2,9 billion US$ in 2012, 2,6 billion US$ in 2011)

Absolut Group - 2,82 billion US$ (2,83 billion US$ in 2012, 2,93 billion US$ in 2011)

Criticism and discussions in the mass media

Construction delays

Throughout 2008–2012, individual companies in SU-155 Group were repeatedly criticized for serious delays in delivering houses, for postponing under various pretexts the settling of residents and finalization of ownership rights over apartments, and for the lack of heating, hot water and electricity in already settled homes for many months. Purchasers of SU-155 apartments held multiple meetings and protests in Moscow.[37]

Claims by the Moscow authorities

In May 2011, SU-155 was subject to criticism from the Mayor of Moscow, Sergey Sobyanin.[38] According to the Mayor, in 2009, the city purchased 187 thousand sq. m. of residential housing for 10 billion roubles (295 million US$ or 215 million €) from SU-155, but by Spring 2011, these residential buildings had not yet been settled and the deficiencies had not been corrected. The Moscow mayor's office initiated a claim in court, but SU-155 was able to prove to the court that the breakdown of construction timeframes was caused by the mayor's office, which delayed in providing a construction zone.[39]

In February 2013, the Department of Economic Policy & Development of the City of Moscow initiated a claim against SU-155 in the Moscow City Arbitration Court, demanding that the company return 3.5 billion roubles (102 million US$ or 75 million €) to the budget.[40] In May 2013, the conflict was resolved by peaceful agreement, in accordance with which the Department of Economic Policy & Development of the City of Moscow maintains its contract with SU-155 and renounces its financial demands. In turn, SU-155 will return 256.5 million roubles (7.5 million US$ or 5.5 million €) to the city budget of Moscow, which the company received as an advance, and will also build 7 out of the 8 planned buildings.[41]

Changes in the planning of already sold structures

In November 2012, the company was subject to criticism for independently changing the designs of several homes in the Novaya Tryokhgorka community: the size of apartments and the shape of rooms were changed. In June 2013, SU-155 signed an agreement with a residents' public interest group (a social charter), which, among other things, secured a return to the initial plans of the apartments, and also the construction of a children's art school for the community's residents, previously not part of the project.[42]

type	Private conglomerate
foundation	1993
defunct	2015
location city	Moscow
location country	Russia
area served	Russia
key people	Mikhail Balakin<BR>Ilya Mikhalchuk
industry	Building construction, Real estate development, Mechanical engineering
revenue	US$3,58 billion (YE2013)‡R1R‡
homepage	SU-155 (in English),<BR>SU-155 (in Russian)

History

Ownership and management

Structure

Operations

Charitable activities

Criticism and discussions in the mass media

Construction delays

Claims by the Moscow authorities

Changes in the planning of already sold structures

Interesting fact

See also

External links

References