Construction of tourist complex and yacht club (Stage I) in Kherson. Improvement of recreational and coastal urban beach area in Hydropark (Stage 2 ).

• Project idea Construction of tourism infrastructure and improvement of public recreational area in Kherson Hydropark.

• Project initiators: The company, which will implement the project,- Private enterprise “Digital group"(Kherson). Co-initiator - executive bodies of Kherson City Council.

• Place of realization: Kherson, area of Hydropark, Maria Fortus Street,107-А.

• Total Project Cost: 25000 thous. UAH.(І stage - construction of tourist complex and yacht club). Calculations for implementation of stage 2 (improvement of recreational and coastal urban beach zone)

• will be performed after development and approval of a detailed plan of the territory by the City Council in 2015.

• Financing scheme: One of the variants is a public-private partnership. Project initiator’s contribution for the implementation of stage 1– 50% - 12,5 mln. UAH. Investment needs for the 1 stage: 50% - 12,5 mln. UAH. Types, sources and investment needs of stage 2 require clarification. Realization of stage 2 communal property area (improvement of recreational and coastal urban beach zone) requires approximately–

• 20,0 mln. USD• Expected results and social effect: creating recreation areas within the

rented area of PE «Digital group» will improve infrastructure of tourism and recreation sphere. Realization of stage 2 of the project (reconstruction of coastal and beach zone in Hydropark) will create conditions for massive, festivals and recreational activities in the public use area, development of rest conditions for city residents and tourists, increase in of jobs and revenues, increase competitiveness and economic level Kherson, will create a unique view of the most popular recreation area near the Dnieper River.

• Current status of project implementation, infrastructure and resources: developed and approved by the customer (PE «Digital group» ) design documentation of stage 1 - construction of tourist complex and yacht club. Defined performance indicators

• (net present value, internal rate of return, discounted payback period, profitability index) of 1 stage of construction. The project provides reconstruction and removing of existing buildings owned by the customer, use of existing utilities and construction of modern infrastructure facilities for boaters and tourists within the land area of 0.9 hectares.Technical and economic calculation (FS) of stage 2 of the investment is fulfilled.

Payback period: І stage-1,5 year (after state support), payback period in general– 5 year .

• Profitability : profitability level considering employment and business income will reach 25-40% based on forms of state support.

• Sales market: wide range of visitors.

Competitive advantages of the project: favorable location, possibility of creating a large entertainment, leisure, sports and health complex, ability to install small temporary and capital buildings on the Hydropark territory (in compliance with the Water Code).

• Official website, contact information: Private Enterprise “Digital group",73000, Kherson, Pryvokzalna St., 12/31