In the beginning of 2007 a new vacation village would be constructed close to Kavarna, the town’s mayor Tsonko Tsonev said.

Tsonev said that the company Bulgarian Land Development PLC-BLD signed an agreement for the purchase of a plot worth 2.1 million euro.

Company manager Dimitar Savov said that Bulgarian Land Development would launch the procedure for obtaining all permits needed for the construction of a vacation village.

Construction works would start in the beginning of 2007, once all legal procedures have been finalised, Focus news agency reported.

A hotel complex would be set up, Savov said. It would feature sports facilities and would create 120 new work places for Kavarna residents, said he.

The project was estimated to cost nearly 100 million euro.

The terrain where the village would be constructed was located between Balchik and Kavarna, one of the most attractive places in the Bulgarian coastal region, Savov said. Currently a golf course and spa facilities were set up nearby.