Pernambuco still depends on license for construction of the World Cup

Almost six months after the signature of the contract for the construction of the Pernambuco Arena, the land of 57 hectares that will host the project, finally the change of scenery begins. A series of machines has been installed onsite for the embankment works, which have already begun.

But despite the initial works, the installation license authorizing the construction of the arena has not yet been released. According to the engineer of the Pernambuco Arena Specific Purpose Society, Jayro Poggi, the work is following the schedule provided by the consortium of the City of World Cup.

Poggi predicts that by the end of the year the license is released by CPRH (State Agency for Water Resources) and in January the foundations on the land begin.

"The licenses are being released by steps so as not to delay the progress of works. In August we had the authorization to mount the construction site. In October, we had the release for embankment works. Now, CPRH is analyzing the documentation to release the installation license", he affirms.

BNDES (Brazilian Development Bank) financing for the work is also pending. The Pernambuco Committee Coordinator for the 2014 World Cup and Secretary of the Civil House, Ricardo Leitão, said that the guarantees provided for the loan were insufficient. "The operation is the guarantee of business. In addition to the income from matches and the revenue from merchandising, BNDES demanded additional guarantees. "

The cost for construction of the arena was initially budgeted in R$ 464 million. According to Leitão, with tax exemptions, the value of the work may fall to R$ 364 million.

Also according to the government, the expropriations of arena land have already been made. It remains only negotiate with the owners of buildings installed in the area of the City of World Cup, real estate venture in the surroundings of the stadium.

Construction site
The construction site of Pernambuco Arena is still provisional. Four sheds are assembled for the functioning of the administrative center, coffee shop, bathroom, dressing room and location for medical care.

Some houses already on location will be utilized for the supporting structure. Approximately 80 employees work in this stage of the work, and that number will increase in the next steps.

Located in the municipality of São Lourenço da Mata, in the metropolitan region of Recife, Pernambuco Arena will have capacity for 46 thousand fans and six thousand parking places.