construction industry
March 05, 2010, 09:51 CET
Rise in construction firm failures seen helping "cleansing" of sector
The number of forcibly liquidated companies in Hungary's construction sector is continuing to rise this year, according to information provider Opten. The numbers of such closed down enterprises in 2008 was 4,436, while it rose to 5,307 in the next... [read complete entry]
February 24, 2010, 10:17 CET
Completed home permits down 11%, home building permits plunge 35% in 2009
The number of completed new homes in Hungary for which permits were issued fell 11pc to 32,000 in 2009, while the number of building permits issued for homes plunged 35pc to 28,400, the Central Statistics Office (KSH) said on Wednesday.... [read complete entry]
February 04, 2010, 09:54 CET
Road linking Pécs with airport expanded
Local and state officials on Wednesday inaugurated a HUF 1.6bn expansion of the road between Pecs, which is a 2010 European Capital of Culture, and the airport in nearby Pogany. European Union development funding covered 85pc of the cost of... [read complete entry]
February 02, 2010, 09:49 CET
Building of new Budapest opera house descends into tragicomedy
How's this for an utterly predictable storyline: Construction of a new building to replace the now-closed Erkel Theater on Köztársaság tér in Budapest's District VIII is being delayed - and may be halted indefinitely - due to obstructionism on the... [read complete entry]
February 02, 2010, 09:38 CET
Court orders BVM to pay Ft 8 billion in compensation for tying up building project
The Economic Department of the Budapest Municipal Court on Monday ruled building materials company BVM Epelem must pay Global Center, a unit of property developer Ablon Group, HUF 8bn in compensation for tying up a building project. BVM was ordered... [read complete entry]
February 01, 2010, 09:54 CET
Arbitration Committee suspends contract for construction of M3 motorway section
The Public Procurement Arbitration Committee has suspended conclusion of the contract for construction of the 34-km section of the M3 motorway between Nyiregyhaza (NE Hungary) and highway 49, the National Infrastructure Development (NIF) told MTI late on Thursday. NIF emphasised... [read complete entry]
January 19, 2010, 09:30 CET
Hungary construction sector output inches down 14.5% in Nov
Output of Hungary's construction sector fell 14.5pc according to both adjusted and unadjusted figures in November from the same month a year earlier, accelerating from a decline of 2.4pc in October, the Central Statistics Office (KSH) said on Monday. In... [read complete entry]
January 08, 2010, 11:27 CET
State infrastructure company signs contract on Ft 35 billion motorway stretch
Hungary's National Infrastructure Development Company (NIF) on Thursday signed a contract with a consortium of construction companies on a HUF 34.8bn expansion of the southern section of the M0 ring road around the capital. Work on the 11-kilometre section is... [read complete entry]
January 04, 2010, 10:04 CET
Opposition plans new housing construction scheme if elected
If Fidesz forms the next government it will develop a ten-year housing programme and establish an organisation close enough to decision makers to lobby for the construction industry, regarding both construction and real estate operation, housing policy expert Fidesz MP... [read complete entry]
December 23, 2009, 10:27 CET
EU to contribute €345 million to construction of ring road around Budapest
The European Union has granted Hungary HUF 95bn (EUR 345m) in support for expansion of the M0 motorway ring road around Budapest, Ministry of National Development and Economy State Secretary Laszlo Varju announced on Tuesday. Mr Varju said that Hungary's... [read complete entry]
December 22, 2009, 09:12 CET
More than 3,000 Hungarian construction firms expected to go bust in '09
The number of construction companies liquidated this year exceeded 3,000 in November and the total figure for the year could reach a record 3,200, the business daily Vilaggazdasag reported in its issue published on Monday, quoting Opten, which collects information... [read complete entry]
December 21, 2009, 11:43 CET
Are Hungary's super-expensive motorways actually too cheap?
Oh this is rich: After gritting our teeth for years over reports of how outrageously expensive it is to build motorways in Hungary - allegedly more, kilometer for kilometer, in this pool-table-flat country the in the craggiest Swiss mountain pass... [read complete entry]
December 14, 2009, 10:35 CET
Hungarian construction industry seen suffering much less than EU average
Hungary's construction industry contracted 2.7pc in 2009, far less than the 8.4pc decline in the European Union as a whole, Hungary's chief architect Sandor Fegyverneky said at a general meeting of the National Association of Construction Companies (EVOSZ) in Budapest... [read complete entry]
November 30, 2009, 10:14 CET
Tough times bring surge in late payments
In the past six months, the percentage of payments delayed by more than 90 days has increased from 9% to 16%, with average late payments now exceeding 110 days, writes Index.hu. According to debt collection agency Directinfo, suppliers are increasingly... [read complete entry]
October 05, 2009, 10:34 CET
Hungarian construction giant TriGranit replaces top executive
Arpad Torok has replaced Lorant Kibedi Varga as CEO of Hungarian construction giant TriGranit from October 1, TriGranit told MTI on Friday. At the same time, Sandor Nyul was made chairman of the board of directors. Because of the changed... [read complete entry]
August 26, 2009, 11:38 CET
Construction liquidations continue despite industry upturn
Although Hungary's Central statistics Office (KSH) reported that construction-industry output rose 16pc yr/yr in June, the number of companies that went under liquidation decreased only slightly in July compared to the spring of this year, company information service provider Opten... [read complete entry]
August 18, 2009, 09:38 CET
Intrigue over big tender for renovating Budapest ice-skating rink heats up
A new public procurement tender has been issued for the renovation of the famous ice-skating rink in Budapest's City Park (Városliget) after an earlier one was found to have been unfair, writes index.hu, based on an MTI report. The Budapest... [read complete entry]
August 18, 2009, 09:21 CET
Hungary's construction output up 15.9% in June on big public projects
Output of Hungary's construction sector rose 15.9.pc in June from the same month a year earlier, according to both unadjusted and workday-adjusted figures, the Central Statistics Office (KSH) said on Tuesday. The twelve-month increase follows a 9.6pc fall in May... [read complete entry]
August 07, 2009, 10:53 CET
Best Bids (I): Sole player for state-run casino tender "jackpot"
Let's finish out the week with some cheerful/appalling recent news about companies that for one reason or another seem to have a lock on particular juicy tenders. First up is this story in last Friday's Világgazdaság, from which we learned... [read complete entry]
August 04, 2009, 09:34 CET
Business plunges at Hungarian construction firms
The output of construction companies in Hungary has fallen an average 5pc-40pc over the past year, the Hungarian Association of Builders (EVOSZ) reported on Monday. EVOSZ said construction companies will work at 50pc to 70pc capacity this year, while companies... [read complete entry]
July 30, 2009, 10:26 CET
Number of building permits drops almost 20% in January-June in Hungary
The number of home building permits fell 19pc yr/yr to 17,003 in the first half of the year, however the number of new homes put on the market rose 16.3pc to 13,080, the Central Statistical Office (KSH) said on Thursday.... [read complete entry]
July 28, 2009, 09:39 CET
Court appoints liquidator to wind up big Hungarian building firm Integrál
The Győr Court of Appeal has appointed a liquidator to oversee the winding up of Integrál, one of Hungary's largest building companies, after a contractor went to court over an unpaid Ft 8 million debt, reports hirtv.hu. Integrál, which in... [read complete entry]
July 21, 2009, 09:15 CET
More than 1,000 Hungarian building firms wound up in first half of 2009
More than a thousand Hungarian building companies were wound up in the first half of 2009, according to the latest data by business registry Opten. According to vg.hu, the number is nearly double that of the same period last year,... [read complete entry]
July 21, 2009, 08:29 CET
Colliers sees increasing slowdown in Budapest hotel developments
Although in the hotel development field Budapest is characterized by strong activity, projects that are still in the planning phase are becoming more frequently reconsidered and postponed. This property segment will weaken further in the future according to the opinion... [read complete entry]
July 07, 2009, 08:59 CET
Sweden's Lindab to shut down Hungary plant as construction market wilts
Swedish building materials maker Lindab will shut down its plant in the Hungarian city of Nyiregyhaza because of the contraction on the construction market in Central and Eastern Europe, operating manager Gordon Pringle told MTI on Monday. The plant will... [read complete entry]
June 10, 2009, 10:47 CET
Key economist says growth won't return to Hungary until at least 2011
Hungary's economy will see further shrinkage before it starts growing again in 2011 at the earliest, economist Laszlo Bekesi told Nepszabadsag daily on Wednesday. The assessment of the one-time finance minister is based on a best-case scenario of optimal conditions... [read complete entry]
May 25, 2009, 09:17 CET
EU funding for Hungarian construction industry to reach €6.5 billion
A total of 1,800 billion forints (EUR 6.5bn) has been made available in European Union funding to help stabilise Hungary's construction sector hit hard by the economic crisis, a Socialist party MP told MTI on Sunday. The funding available by... [read complete entry]
May 18, 2009, 09:13 CET
Construction output up 3.5% year-on-year in March
Output of Hungary's construction sector rose 3.5pc in March from the same month a year earlier according to both unadjusted and workday-adjusted figures, the Central Statistical Office (KSH) reported on Monday. In a month-on-month comparison, construction sector output rose 5.9pc... [read complete entry]
May 07, 2009, 04:42 CET
Newly built District V courtyard hotel faces wrecker's ball
The six-storey hotel built recently at Molnár utca 35 in District V may have to be demolished after the mayor's office discovered the building erected in the courtyard of the apartment block did not correspond to the specifications approved in... [read complete entry]
April 30, 2009, 09:10 CET
PM outlines plan for tackling "chain debts" in construction industry
Hungary's government is planning to introduce a programme to halt the debt chain in the construction industry, Prime Minister Gordon Bajnai said on Wednesday.... [read complete entry]
April 21, 2009, 09:19 CET
General contractor of new Budapest bridge under siege by creditors
Some thirty creditors of Ganz Acél, the main building contractor of Budapest's recently completed Megyeri bridge, have file a bankruptcy petition against the company after it failed to pay nearly Ft 2 billion it owes to over 200 creditors, writes... [read complete entry]
April 09, 2009, 09:32 CET
Courtyard hotel project in Budapest's District V probed
Fifth District deputy mayor András Puskás has ordered the district notary to launch an internal investigation in connection with complaints regarding a hotel constructed in the courtyard of an apartment building.... [read complete entry]
March 04, 2009, 10:02 CET
Gov't to divert EU funds from Budapest redevelopment projects
The cabinet is planning to cancel several prominent EU-funded projects today, including the reconstruction of Szent György tér and Dísz tér in the Castle District as well as the upgrading of the Komárom fortress.... [read complete entry]
February 18, 2009, 12:25 CET
More scary company news from Orco
The ongoing saga of the Orco Property Group continues, with reuters reporting today that the big listed developer with numerous projects underway in Hungary (and the region) is starting the "next stage" of its restructuring program. In addition to sacking... [read complete entry]
February 13, 2009, 02:19 CET
Building contractors get suspended sentences in tax evasion case
The Szeged appeals court has handed down suspended sentences to three building contractors found guilty of multiple counts of tax evasions totaling Ft 88 million, index.hu reports.... [read complete entry]
February 12, 2009, 09:17 CET
State to allocate Ft 1.8 trillion for construction works over coming 18 months
Hungary's government will allocate HUF 1,800bn (EUR 6.24bn), most of which will be derived from EU funding, for construction investments over the next year and a half, National Development and Economy Minister Gordon Bajnai said at a press conference on... [read complete entry]
January 26, 2009, 09:08 CET
Subcontractors on new Budapest bridge demonstrate against unpaid bills
Subcontractors and workers, who built a new bridge spanning the Danube in northern Budapest, on Friday staged a demonstration demanding payment for their services.... [read complete entry]
January 26, 2009, 08:59 CET
Building industry trade groups create national body; air for industry consolidation
Hungary's seven regional building industry associations established a national council in Budapest on Friday.... [read complete entry]
January 12, 2009, 08:59 CET
Gov't calls tender for 46-kilometer stretch of M3 motorway
The government has called a tender for a HUF 50bn stretch of the M3 motorway in NE Hungary, Finance Minister Janos Veres said on Friday.... [read complete entry]
December 23, 2008, 09:05 CET
Competition office launches probe into Strabag takeover of Cemex units
Hungary's Competition Office (GVH) said on Monday that it will launch a detailed two-phase investigation of Austrian construction company Strabag's acquisition of the Hungarian and Austrian units of Mexican cement company Cemex.... [read complete entry]
December 19, 2008, 06:55 CET
Opening of high-speed motorway sections to slow in 2009
Hungary's National Infrastructure Development Company (NIF) plans to inaugurate 6.7 kilometres of high speed roads worth a combined HUF 17.4bn in 2009, down sharply from the 78 kilometres worth a combined HUF 281.3bn in 2008, figures announced by NIF deputy-CEO... [read complete entry]
December 16, 2008, 07:57 CET
Unpaid construction workers "unconstruct" store in Tatabánya
Unpaid construction workers started deconstruction a building in Tatabánya on December 10, writes Index.hu, based on Független Hírügynökség.... [read complete entry]
December 15, 2008, 07:53 CET
Competition Office investigates alleged concrete cartel
Hungary's Competition Office (GVH) said Friday that it has launched an investigation of a suspected cartel involving eight concrete companies.... [read complete entry]
December 12, 2008, 01:05 CET
Opposition offers government limited support on economic measures
Main opposition party Fidesz has offered to cooperate with the country's minority Socialist government on certain economic issues.... [read complete entry]
December 10, 2008, 09:02 CET
Disappearing ink used to fill out employment books for motorway workers
Following hot on the heals of shocking revelations that children as young as 13 were working illegally on Hungary's M7 motorway, authorities have now uncovered the use of "disappearing ink" to fill out employment books on the M6 project. Labor... [read complete entry]
November 28, 2008, 07:49 CET
Long-shuddered historic Budapest hotel-spa complex to be rebuilt
A historic public bathhouse in central Budapest's Dohany Street will be rebuilt and is planned to re-open in 2010, daily Nepszava reported on Thursday.... [read complete entry]
November 26, 2008, 12:27 CET
PR budget for Budapest's troubled Metro 4 increased by Ft 80 million
The Budapest cabinet has improved increasing the PR budget of the troubled Metro 4 project by Ft 80 million (€320,000), reports Index.hu.... [read complete entry]
November 26, 2008, 08:52 CET
Lánchíd 19 Hotel wins European design award
Budapest's Lánchíd 19 Hotel has won one of Europe's most prestigious design awards, writes property portal ingatlanmanadzser.hu.... [read complete entry]
November 25, 2008, 05:17 CET
Leading Hungarian construction firm Vegyépszer sees big drop in business
Hungarian construction company Vegyepszer on Tuesday said it expects a downturn in infrastructure developments to cause its revenue to drop to HUF 50bn in 2009 from an expected HUF 80bn in 2008.... [read complete entry]
November 21, 2008, 12:26 CET
Workers seriously injured at mall construction site in Buda
Three workers were seriously injured at the construction site of the New Buda City Center shopping mall in Budapest's District XI when a five-meter piece of construction material overturned on them on November 19, writes Népszabadság, based on an MTI... [read complete entry]
November 20, 2008, 02:54 CET
"Green" Auchan hypermarket opens in Miskolc
A new Auchan in Miskolc, the tenth Auchan in Hungary, has opened with solar-panels, utilizing the same eco-friendly technology that was proven effective in the Beijing Olympics, napi.hu writes.... [read complete entry]
October 20, 2008, 10:27 CET
Construction falls further 4.3% in August
The output of Hungary's construction sector fell 4.3pc yr/yr in August after a 12.8pc decline in July according to workday-adjusted figures. Unadjusted figures show a 6.3pc yr/yr decrease after a 11.8pc drop, the Central Statistics Office (KSH) said on Thursday.... [read complete entry]
September 30, 2008, 08:36 CET
Foreign construction firms halt work on Budapest metro over payment disputes
The French, German, Austrian and Hungarian consortium Bamco made good on its word on Monday and temporarily stopped working on metro line number four at Etele tér and Gellért tér. Bamco claims Ft 40 billion in unmade payments and Ft... [read complete entry]
September 22, 2008, 01:59 CET
TriGránit finds grass isn't always greener in Romania
While construction projects in Hungary are often hamstrung by endless bureaucratic obstacles, Hungarian property developer TriGránit Zrt. has come up against similar problems in a much-ballyhooed project currently underway in Bucharest, Romania. Many local observers remarked on the significance of... [read complete entry]
September 16, 2008, 03:13 CET
TriGránit drops plans to build conference hall
TriGránit Zrt, one of Hungary's largest property develops, has scrapped plan to build a conference hall as part of it Millenium Városközpont designs, CEO Sánor Nyúly told ">napi.hu, adding that another office complex is likely to be built in its... [read complete entry]
September 03, 2008, 08:42 CET
Survey finds property investor confidence confined to the retail sector
Research institute Ecostat forecasts both good and bad "weather" for the real estate market, writes Napi.hu. The relative majority of investors predict decline or stagnation for nearly all real estate types, with the exception of shopping centers and agricultural structures... [read complete entry]
September 01, 2008, 02:43 CET
Sole bidder wins tender for state-owned Budapest conference hall
Atlantis Congress and Events Hall Kft has won a National Asset Management Company (MNV) tender as the sole bidder to conduct the property management and operation of the unfinished Tuskecsarnok hall located in Budapest's Infopark, National Asset Management Company (MNV)... [read complete entry]
August 19, 2008, 09:41 CET
Hungary's construction output drops 9% year-on-year in June
The output of Hungary's construction sector fell 9.0pc yr/yr in June according to workday-adjusted figures and decreased 8.1pc according to unadjusted figures, the Central Statistics Office (KSH) said on Tuesday. Unadjusted output inched a slight 0.6pc yr/yr in April after... [read complete entry]
August 06, 2008, 11:12 CET
Highway robbery plagues Hungarian motorway construction sites
While it is widely assumed that the high per-kilometer costs of building a motorway in Hungary is due in part to high-level corruption, a recent exposé (in Hungarian only) by financial portal portfolio.hu shows that petty corruption is playing a... [read complete entry]
July 31, 2008, 08:39 CET
Home building slows further in first half of year
The number of new home building permits issued dropped 0.8pc to 20,907in the first half 2008 and the number of new homes coming onto the market declined 15.5pc to 11,138, the Central Statistics Office (KSH) reported on Wednesday.... [read complete entry]
July 30, 2008, 02:43 CET
Key Hungarian property market index stagnates in second quarter
Economic think-tank Ecostat's Real Estate Barometer, a measure of sentiment on Hungary's property market, inched up four-tenths of a percentage to 46.0pc in Q2 from the previous quarter, Ecostat director Pal Belyo said at a press conference on Wednesday. Mr... [read complete entry]
July 29, 2008, 08:27 CET
Hungarian construction industry awash in liquidations
The number of Hungarian building companies that went under liquidation in the first half of 2008 rose 21pc over the same period a year earlier, about twice the rate for all companies, company information provider Opten said in an announcement... [read complete entry]
July 10, 2008, 10:04 CET
Infrastructure office rejects criticism over higher motorway costs
The Infrastructure Development Office has responded to claims that the Kőröshegy viaduct was a waste of taxpayer money. [read complete entry]
July 09, 2008, 03:26 CET
Child labor fails to lower Hungarian motorways construction costs
In one of those stories that makes you wonder just how far Hungary is progressing in its efforts to be a "modern" European country, last week the regional newspaper Zalai Hirlap reported that a labor inspection uncovered the stunning fact... [read complete entry]
May 22, 2008, 11:26 CET
Contract signed for expansion of Budapest airport
The first of what are expected to be numerous contracts for expanding Budapest's Ferihegy Airport was signed this week, between operator Budapest Airport Zrt and a consortium including leading domestic construction group Vegyépszer Zrt. The contract, which is for €16.8... [read complete entry]
April 30, 2008, 11:11 CET
New residences in Hungary larger in size, smaller in number, not in Budapest
New data on home construction in Hungary indicate that while the size of residential units being built is growing, the number of new flats being added to the market is dropping. Meanwhile, the most vibrant areas for new construction are... [read complete entry]
April 21, 2008, 03:29 CET
Hungarian construction market dips again, but ray of light seen on horizon
Hungary's construction output dropped in February, but the pace of the decline has slowed, data just released by the country's Central Statistics Office (KSH) indicate. [read complete entry]
March 06, 2008, 10:18 CET
Developers say global credit woes fail to dent Hungarian residential construction
The global tightening of credit terms and pricing doesn't seem to have had a negative impact on local residential construction, participants in a conference said. [read complete entry]
February 04, 2008, 09:31 CET
Portal sues Budapest for release of Metro 4 data
Online media group Index Zrt is suing the city of Budapest to force the release of a study commissioned to determine the ultimate costs to the municipality of the controversial Metro 4 project. According to the suit, the study by... [read complete entry]
January 28, 2008, 09:50 CET
Motorway project wins "PPP deal of the year" award
A motorway project in Hungary won an award for public-private partnerships after being completed in near-record time, and below the original estimated cost. [read complete entry]
January 21, 2008, 12:00 CET
Hungarian construction sector fears tough year ahead
Hungarian building contractors foresee a new wave of bankruptcies, steep production declines and fraying competitiveness among SMEs in the sector this year, Napi Gazdaság reports.... [read complete entry]
January 15, 2008, 08:29 CET
Largest ever Budapest property development set to kick off
With infrastructural developments nearly completed, construction is set to begin within weeks on what will become Budapest's largest property investment to date in the south of the city, Napi Online reports.... [read complete entry]
January 09, 2008, 11:09 CET
Gropius struggles with mounting debt, decreasing profit
Gropius faces serious financial difficulties as development projects suffer delays, earnings decline and debts mount. [read complete entry]
January 07, 2008, 01:33 CET
BKV considers abandoning Fővám tér Metro 4 stop
Budapest Transport Company BKV is considering scrapping the Metro 4 stop at Fővám tér after construction runs behind schedule and over budget. [read complete entry]
December 21, 2007, 11:14 CET
Mass indebtedness threatens "mafia war" in Hungarian building industry
The Hungarian construction industry could become a scene of "mafia wars" unless the government takes immediate steps to help clear debts plaguing the sector, writes daily Magyar Hírlap. As the "debt spiral" was in part started by the state and... [read complete entry]
December 20, 2007, 08:30 CET
Construction firm Hídépítő quits Budapest metro 4 project
The construction company Hídépítő is quitting the metro line four project after consultations behind closed doors between the company and City Hall ended in deadlock on Wednesday. No final decision has been made on how to continue the project, Népszabadság... [read complete entry]
December 17, 2007, 08:31 CET
New construction projects begin at Budapest Airport
A €257 million modernization of Budapest's Ferihegy Airport began last week with work on a "container city" of temporary offices. [read complete entry]
December 05, 2007, 12:52 CET
Budapest Mayor sets road surfacing target
The City of Budapest has announced plans to renovate 100 km of road surface per year with funds of Ft 7 billion earmarked for 2008. [read complete entry]
November 16, 2007, 11:37 CET
Huge costs of Hungary's new motorways under spotlight
A decision has been made to build a stretch of the M6 motorway between Szekszárd and Bóly and that of the M60 motorway between Bóly and Pécs based on a costly plan involving the construction of eight new bridges and... [read complete entry]