Bank JV to invest EUR 300m in Austria's highest tower

A consortium of Bank Austria's real estate arm Bauträger Austria Immobilien and Wiener Entwicklungsgesellschaft für den Donauraum (WED) has started the development of the DC Tower in Vienna.

The project, representing an investment of around EUR 300 mln, will be Austria's highest tower on completion, reaching a height of 220 metres.

Designed by French star architect Dominique Perrault, the new skyscraper will be located close to the UN headquarters and will be energy-efficient, with the goal of obtaining the Leed platinum or gold certification. The scheme is located in the vast Donau-City urban regeneration project in Vienna.

'We believe in the success of this real estate project because it connects like no others high architectural standards with a green building concept and a very attractive location,' said Bank Austria's board chairman, Willibald Cernko.

Bank Austria is the lead financier in the consortium, with a controlling stake in the project. Spanish hotel chain Sol Melia is a minor investor and the main tenant in the tower, with its ME Vienna hotel, the hotel operator's first property in Austria.

'Our broad experience in Vienna and especially in this location makes it easier for us to implement this mega project, which will create 2,500 jobs,' added Thomas Jakoubek, Chief Executive of Wed, the company established to carry out the urban development of the new Donau-City district.

Wed, which is controlled by banks UniCredit, Bank Austria, Erste Bank and Raiffeisen Bank, has so far realised four skyscrapers in the Danube district, including the Andromeda tower, the Ares Tower, Tech Gate Vienna and the Saturn Tower. The Danube City redevelopment is located at the entrance of Vienna and offers 550,000 m² of mixed-use space, with a the total investment of around EUR 2 bn.