Kharkiv Urban Land Projects

In 2019, two land projects in Kharkiv were acquired and consolidated for future development. Both projects were initiated by the founder, who brought an investor into the acquisition and transaction structuring, as the portfolio was acquired through a debt-based structure.

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22 hectares — Poltavskyi Shliakh metro area. The project moved directly into development.

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10.5 hectares — Turboatom metro area. The land was acquired from a financial company on deferred-payment terms. The site is approximately ten minutes from Freedom Square, facing a park and adjacent to the Turboatom complex.

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In July 2021, the land-owning company signed a memorandum with a major investor concerning the Turboatom project. The project was positioned to move into development, but actions by the financial company involved as a project partner prevented the transaction from proceeding.

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The land-owning company was later sold together with its assets. At the time the creditor entered the project, its confirmed claims represented approximately 10% of the asset value. Subsequent court proceedings resulted in a debt position broadly comparable to the appraised value of the projects, giving the creditor controlling influence over the company.

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The origin of this debt, its effect on the assets and the creditor’s actions are now being reconstructed within the insolvency process. The insolvency practitioner is expected to establish the factual circumstances.

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Midas System focus: reconstructing asset history, acquisition structures, corporate decisions, financial flows, creditor claims, related-party links and litigation — to identify where asset value and effective control diverged, and what routes remain for recovery or resolution.

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