Particle.news
Download on the App Store

Magdeburg Waives Pre-Emption Right on Former Intel Site

State rejection of the city's financing plan led the council to drop the purchase, demand repayment of €24.6 million, seek a supervisory-board seat, push for quick state talks to protect public investment.

Overview

  • The Magdeburg city council voted to waive its pre-emption right for the Eulenberg parcel while attaching conditions to protect municipal interests.
  • The council reversed earlier plans to buy the land after the Landesverwaltungsamt again rejected the city's financing proposal, which reportedly would have required at least €184 million in credit.
  • Mayor Simone Borris said the city will only withdraw its purchase claim if the buyer repays €24.6 million already spent by Magdeburg and grants the city a seat on the supervisory board.
  • Local reporting says a private investor recently offered about €200 million for roughly 100 hectares, but the bid was turned down because it would have broken up the site and harmed its suitability for a single large industrial settlement.
  • Intel plans to sell the tract by June, a timeline that has prompted the city to press the state for a rapid agreement to keep the site intact and preserve prospects for a large industrial project and quality jobs.