German discount chain endorsement fails

  • 2004-10-20
  • From wire reports
TARTU - The much-ballyhooed opening of the German discount chain Lidl will be postponed by at least six months as the city has refused to endorse the site plan.

"We sent the detailed plan submitted by them back with remarks, and it will take no less than four months to handle it," Indrek Ranniku, chief of Tartu's planning service, told the Baltic News Service on Oct. 15.

Since it failed to earn endorsement from the National Road Administration the plan was sent back, he explained. "Besides, we weren't satisfied with how the buildings would be set - although it was only a matter of meters - and the on-site traffic scheme put forward didn't conform to valid requirements," Ranniku said, adding that Lidl had demonstrated its ability to draw up a quick plan.

Lidl chose a plot of land opposite the city's most popular shopping center, Lounakeskus, for strategic purposes.

The German retail giant had earlier hinted that it would like to set up at least one store in eight Estonian towns, most likely in the country's northeastern and southern regions. Yet one recent report claimed that Lidl was planning to build its sole store in Tallinn's Lasnamae residential district.

Lithuania's VP Market is also unfolding major expansion plans in Estonia, and many are hoping the arrival of the two players will lead to better choices for consumers.