Finnish property company Citycon has been granted a EUR 30mln loan by the Nordic Investment Bank (NIB) to finance the development of a shopping centre south of downtown Stockholm, in the district of Liljeholmen. The new centre will apply strict environmental standards as part of an holistic approach to sustainable building, which was essential to NIB's decision to participate in the financing of the project. NIB's loan is an important contribution to the project, which will cost EUR 180mln in total. The maturity of the loan is 10 years.
Finnish property company Citycon has been granted a EUR 30mln loan by the Nordic Investment Bank (NIB) to finance the development of a shopping centre south of downtown Stockholm, in the district of Liljeholmen. The new centre will apply strict environmental standards as part of an holistic approach to sustainable building, which was essential to NIB's decision to participate in the financing of the project. NIB's loan is an important contribution to the project, which will cost EUR 180mln in total. The maturity of the loan is 10 years.
'The new centre will take into account principles of sustainable property development by using the newest technology, with solutions for energy efficiency and water use. District heating and cooling will also enhance energy efficiency', said NIB's vice-president Nils Emilsson.
Building work on the new shopping centre started in May 2007 and is due for completion in October 2009. It will have a leasable area of 28,000 m2 for some 90 businesses and is Citycon's largest single development project to date.
Citycon aims to get the international LEED rating (Leadership in Energy and Environment Design) for the shopping centre. The LEED rating requires, among other things, sustainable site development, water conservation, energy efficiency and environmentally friendly materials and resources.
'We are very happy to be able to fulfil the tight requirements of NIB's lending in the current market situation. This is a concrete example of the importance and benefits of sustainable activities. Sustainable site development has secured us long-term financing from a highly valued lender', said Citycon's chief financial officer Eero Sihvonen.
