All contracts for the second phase of Rūdninkai military town come into force
The contracts for the second phase of the Rūdninkai military town, signed by the Lithuanian Ministry of National Defence and construction company Merko Statyba, have come into force, the ministry announced on Friday.
This follows the securing of financing, allowing full-scale construction to begin. The project aims to complete Lithuania’s largest military infrastructure development by the end of 2027 to accommodate a German brigade.
“Our commitment to preparing on time for the reception of the German brigade remains firm—by the end of 2027, we will complete the largest military infrastructure project in independent Lithuania’s history,” Defence Minister Robertas Kaunas said in a statement.
Earlier, the ministry confirmed that a separate contract with Rudina for part of the second phase had also taken effect. Rudina had previously secured a €200.75 million loan from the European Investment Bank and Swedbank for its portion of the work.
“With the contracts now in force and financing secured, we are moving to the most important phase—construction. The Rūdninkai military town is one of the largest and most technically complex infrastructure projects currently underway in Lithuania,” said Saulius Putrimas, CEO of Merko Statyba.
Construction of building structures will begin shortly, with further work proceeding according to the planned schedule, he added.
The second phase includes barracks, garages, workshops, dining facilities, warehouses, assembly areas, headquarters, fuel stations, and training facilities, some of which will feature modern simulation systems. The military town will cover 190 hectares in the Šalčininkai district.
The project is being developed under a 15-year public-private partnership, divided into three parts to reduce state risks. Rudina will receive €487.61 million (including VAT) for its construction and maintenance work, while Merko Statyba will receive €393.25 million and €453.5 million for its two respective sections. Payments will commence upon completion of construction.