The European Commission has approved a €52 million German public funding measure to support the construction of a multifunctional arena in Würzburg under EU state aid rules,.
The planned venue is intended to host sports events, concerts and other cultural and social events, with capacity for up to 7,000 visitors, the Commission said in a release on Wednesday.
The project will be developed by the non-profit foundation Zukunftsstiftung Würzburg through a project company.
After the arena is completed, the project company will lease the building to an operator selected through an open, competitive, transparent and non-discriminatory procedure.
How the EU assessed the funding
The Commission stated it assessed the measure under Article 107(3)(c) of the Treaty on the Functioning of the European Union, a provision that allows certain types of state support when they help economic development.
It concluded the funding was appropriate, necessary and proportionate, and said the effects on competition and trade between EU member states would remain limited.
A non-confidential version of the decision will be published under case number SA.120605 in the Commission’s State Aid Register once confidentiality issues have been resolved.
