Flamengo Stadium: Caixa estimates loss of more than R$1 billion with expropriation

A judicial battle for Gasologista land, sold at auction by Flamengo for construction from your stadium, is far from over. The Union requested that the process be reversed to the Federal Court, alleging that the expropriation carried out by the city of Rio de Janeiro created a loss of more than R$1 billion to the Severance Indemnity Fund (FGTS), the sole shareholder of the Employment Fund. Porto Maravilha Real Estate Investment (FII PM), managed by Caixa Econômica Federal (CEF).

Caixa estimates a loss of R$1.084 billion with the expropriation. The bank estimates a value of R$240.5 million for the Gasometer land and R$843.3 million for the use of Cepacs (certificates of additional construction potential) that the City Hall had assigned to the land. The information is from the portal 'Mundo Rubro-Negro'

“Masterplan expected the consumption of up to 602 thousand Cepacs in the Gasometer, which at the average unit value of R$ 1,400.83, represents R$ 843, 3 million. Thus, the potential impact of the expropriation is R$1.084 billion, without considering the amount that the FII Porto Maravilha will receive as compensation for the expropriation. In this sense, the expropriation promoted has direct repercussions on the FGTS and in relation to all Brazilian workers linked to the aforementioned fund”, stated the General Attorney's Office of the Union in the petition it filed in the expropriation process, which is taking place in the State Court.

In the calculation, Caixa does not count on the R$ 138.2 million deposited in court by Flamengo for the city hall to pay the expropriation to the Bank. After a response made by CEF, the State Court ordered an inspection to be carried out on the land to assess a fair value for it. The deadline for completion is 15 days. Flamengo approved a bond insurance if you have to pay more than stipulated in the auction notice if the price is changed by the judiciary.

Despite the uncertainty, Flamengo and City Hall must sign this Friday (16) the promise of purchase and sale, which marks the beginning of the 18 months, foreseen in the auction notice, for the presentation of the executive project of the stadium, by the Club. To do this, an assessment will have to be made on the contamination of the land, which for years housed the Gasometer while it was still active, which made the soil in the area harmful to health without decontamination.

City Hall denies loss to Caixa

In leaked audio of Eduardo Paes in conversation with Flamengo partners, including former President Eduardo Bandeira de Mello, the Mayor guarantees that he did not cause any losses to the FII PM and even accused Caixa of fraud for artificially increasing the price of the land and making the sale unfeasible.

“I hope Caixa Econômica doesn't try to lie, because this mayor here isn't stupid or anything. And we have several purchase and sale contracts for the real estate fund at value. Caixa negotiated the land and CEPAC for the private sector, to try to sell it to build buildings. And then, the CEPAC price of the property was very balanced. The square meter of land there was very balanced. Soon, when Flamengo's story begins, Caixa throws the price per square meter to the moon, and lowers the price of CEPAC. They were the ones committing fraud. They were transforming an artificial square meter number there to try to overvalue and make Flamengo's purchase of the land unfeasible”, stated the mayor.

Caixa alleges misuse of purpose in the expropriation and requests that the auction be annulled. The process is now taking place in two actions, one in the Public Finance Court of the State Court and the other in the 2nd Court of the Federal Court. The dispute is expected to reach the Superior Court of Justice (STJ).