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District pins hopes on new roads, bridge

In addition, Praga Poludnie officials have high hopes for new roads and a bridge and there's even a rumor circulating about an Olympic bid in 2012.
But Praga Poludnie has a long way to go in the meantime. The district has traditionally been considered one of the best places to live east of the Wisla. Unlike its northern neighbor Praga Polnoc, which never seems to be able to rid itself of a crime-ridden image, the Poludnie, or southern, district features the upper-end residential area of Saska Kepa and relatively modern apartment estates of Goclaw.
However, with more and more Warsaw residents buying cars in recent years, lack of infrastructure has become perhaps the limiting factor, officials said.
"Communication is key to everything," said Lech Mitraszewski, the Praga Poludnie district board member responsible for development.
The major problem stems from the insufficient capacity of bridges linking it with central Warsaw in addition to a general lack of a major road network to other areas in eastern Warsaw, officials said.
"The declaration that we will build a road in 10 years is not enough," Mitraszewski said. "For an investor it is too late."
Planned roadway investments include Trasa Siekierkowska and expansion of Wal Miedzeszynski. The best known and most significant is Trasa Siekierkowska running along the southern border of Praga Poludnie and northern Gmina Wawer and spanning the Wisla to tie east to west, specifically the Mokotow district near central Warsaw. Once construction begins, the zl. 500 million ($132 million) investment project should be completed in three years. But the start date, already delayed, remains unclear. Mitraszewski said he hopes that the project will start this year.
Trasa Siekierkowska holds significant potential to boost residential and retail development in Goclaw, the district's flagship, multi-apartment, residential area, which resembles the Ursynow area, across the river in south Warsaw. But the absence of a bridge keeps a downward pressure on prices and discourages investment in Goclaw. Purchase prices for residential space in Goclaw run more than 10% less than its suburban counterpart in southern Warsaw.
For example, a typical new residential development such as that developed by the Goclaw Lotnisko cooperative carries a sale price tag of zl. 2,990 per square meter, while a similar development in Ursynow runs zl. 3,530 per square meter developed by the Przy Metrze cooperative. Ursynow's big advantage comes from both an underground metro and several main roadways linking it with downtown Warsaw.
But the potential is there and bargain hunters are eyeing Praga Poludnie, Mitraszewski said. Goclaw is geographically situated in Gmina Centrum, much closer as the crow flies to downtown than Ursynow. Land prices at $400 a square meter are relatively low and are attracting residential developers, Mitraszewski said.
The main development targets have been in residential Saska Kepa, on the district's western edge near the Wisla, and in the main commercial drag along Grochowska street, which runs away from the river to the heart of the district at Rondo Wiatraczna in the Grochow area. Upcoming investments here include two mixed-use projects at Rondo Wiatraczna, one developed by the Pax Housing Cooperative and the other by the Rondo company, owned by former arms trader Cenzin, Mitraszewski said.
Further east, retailer Casino has developed a King Cross mall with its Geant hypermarket and the Promenada center is slated for a Ster Century multiplex cinema this year. But overall, retail investment in Praga Poludnie has been slow and not well-diversified compared to other parts of western Warsaw. The service sector boasts only one well-known restaurant, Santorini, and has mainly focused on auto row, with car showrooms along ulica Ostrobramska, which runs east-west through the center of the district and hooks up with western Warsaw via Trasa lazienkowska. Here, Opel and Renault have already opened shop, while Toyota has land and Nissan is searching for a site, Mitraszewski said.
Large-scale retail investors have been doing market research to find a site along the proposed Trasa Siekierkowska at the district's southern border and existing Wal Miedzeszynski streets on the western perimeter. Wal Miedzeszynski running north-south along the bank of the Wisla is slated for enlargement by an additional lane in both directions, Mitraszewski said. There is room for more players in terms of demand from the local population and more space can be made available for development. Mitraszewski said the district would consider lobbying for relocation of a bus depot to open up lots on Ostrobramska street.
In addition to residential and commercial development in the central and southern areas, the area north of the Poniatowski bridge holds potential for industrial and leisure/recreation development, officials said. Currently, mixed use, warehouse and office projects exist for German conglomerate Siemens and white goods firm Ardo.
The district envisions that new roads here will open an additional 40 hectares for development, specifically for light industry along ulica Kozia Gorka and an unspecified site on ulica Kamionek Przemyslowy, near the Warszawa-Wschodnia train station, Mitraszewski said.
In the long term Praga Poludnie also hopes to use its leisure assets, which include Park Skaryszewski, the bank of the Wisla and the Stadion X-lecia sports stadium, now a giant flea market, in addition to cooperative gardens.
But these areas are long-term assets not likely to be developed anytime soon, Mitraszewski said. Cooperative gardens in Saska Kepa, for example, could serve as sites for public service investments such as hospitals, he said.
Stadion X-lecia, presently a well-known, open-air market will likely be redeveloped into a sports complex that could figure in calls for a Warsaw bid to host the 2012 Olympic Games, Mitraszewski said.
"Whether 2012 or later, the stadium will be there," he said. But any grand design for the Olympics won't affect the existing open-air market, he said. The market will die a natural death long before any stadium redevelopment project because of competition from sophisticated retail areas, Mitraszewski said.

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