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CMS Advises on Construction of the Nowa Lodz Fabryczna Railway Station

CMS Advises on Construction of the Nowa Lodz Fabryczna Railway Station

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CMS has advised on the construction of the state-of-the-art Nowa Lodz Fabryczna railway station, one of the largest railway projects in the European Union and the most modern in Poland.

As part of the project, which CMS describes as "quite unique on our market," CMS lawyers supported the general contractor of the railway station and the railway line – operated by a consortium consisting of Torpol, Astaldi, Intercor, and Przedsiebiorstwo Budowy Drog i Mostow. The value of the entire project amounted to PLN 1.75 billion (approximately EUR 393 million) gross.

According to CMS, the new station will be the most advanced underground facility of its kind in Poland and an important element of the New Centre of Lodz. The three-story railway station with four platforms and eight tracks is intended to be a central part of a multimodal transportation hub that will link the commuter and conventional railways, long-distance buses, public transport, and private car transport, all of which will make it possible to handle up to 200,000 passengers a day (representinga 20-fold increase).

"Due to the complexity of the works, the amount of financial outlays and the number of entities involved, construction projects are associated with a high level of risk," said Lidia Dziurzynska-Leipert, Partner in CMS’s Real Estate and Construction Department, who managed the firm's team on the deal. "Especially now, when the construction industry is facing a number of challenges related to lower dynamics of contracts concerning large infrastructure projects and a slowdown in local government projects, it is particularly important to secure ongoing projects from the legal perspective."

The scope of work that CMS has been performing for the general contractor since 2012 included the provision of comprehensive legal services in relation to the project, including advice on relations with the contracting parties, subcontractors, and designers, and representing the general contractor in court disputes and mediation proceedings.

In addition to Dziurzynska-Leipert, the firm's team included Legal Advisor Michal Bork and Aneta Gorecka and Advocates Ludwina Klein and Bolesław Szylkajtis.