Gare du Nord: why Ceetrus, the Auchan property company, will have to pay more than 47 million euros to the SNCF

2023-09-22 20:02:28

The dispute between the two companies dates back to 2021. In September of that year, SNCF announced that it was terminating the contract to modernize the Gare du Nord that it had concluded with Ceetrus. Two years later, the Paris commercial court ordered the Auchan property company to pay more than 47 million euros to the French railway company.

In detail, the property company, which has become New Immo Holding, will have to pay the company SNCF Gares et Connexions the sum of 47 million euros, “in execution of the independent guarantee on first demand”, as well as interest, according to the judgment. with “provisional execution”.

“Building on this first favorable decision, SNCF Gares et Connexions intends to continue the ongoing procedures at the administrative court aimed at obtaining compensation of 300 million euros from Ceetrus,” indicated this company of the SNCF group. This is “a first significant legal victory in [le] dispute with Ceetrus over the Gare du Nord,” she said.

More modest arrangements

The SNCF had abandoned its ambitious but contested expansion project for this station, which is the busiest in Europe with 700,000 travelers per day. The company had thus denounced the renovation contract linking it to Ceetrus, citing a lack of control of the project, soaring costs and very significant delays.

Accusing the Auchan property company of “serious failure”, the SNCF had accused it of “unbearable deviations from commitments”, with a tripling of the cost of the work (to 1.5 billion euros) and delays. Ceetrus, for his part, had accused his ex-partner of lacking “loyalty”.

This work was to significantly expand the station in anticipation of the 2024 Olympic and Paralympic Games in Paris. The renovated station was to house new businesses. Chosen in 2018, Ceetrus signed the contract at the beginning of 2019. A lighter version of the project was then validated in November 2020, but all of the work could not be completed in time for the Games.

Since the final abandonment of the project, the SNCF has launched much more modest developments at the Gare du Nord, amounting to 50 million euros. This work must be completed in April 2024.