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State Aid

PR(09)82: No state aid in sale of Slaktehustomten in Bergen, Norway

25.11.2009

Today, the Authority closed its investigation into the sale of the property referred to as “Slaktehustomten” by the municipality of Bergen in Norway. The Authority concluded that no aid was involved in the transaction.

The Authority has investigated the sale of the property and concluded that it did not involve state aid. Although the sale was not carried out in accordance with the methods described in the Authority's Guidelines on state aid elements in sales of land and buildings by public authorities[1], the Authority does not consider the sale to involve state aid. When selling Slaktehustomten, Bergen municipality wished to preserve its historical character and sell at market value. Consequently, potential buyers were invited to submit a proposal for preservation and development of the property in an open bidding procedure. The property was not sold to the highest bidder, as the proposal for the development of the property was deemed unsuitable. After negotiations, the property was sold at a price that corresponded to the highest offer of the bids that were considered most eligible. In light of this, the Authority does not consider that the transaction involved state aid.

Furthermore, the Authority has looked into whether changes to specific zoning regulations applicable to the property have led to an increase of the value of the property that could constitute a form of state aid connected to the sale. However, the Authority found that no such changes have been made and that potential changes would be covered by a compensation clause in the contract.

For further information, please contact:

Mr. Per Andreas Bjørgan
Director, Competition and State Aid Directorate
tel. (+32)(0)2 286 18 36

 
 
Brussels, 25 November 2009

 
 




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