Liebrecht&Wood, BBI tie up loan for Warsaw project

European property developer Liebrecht & Wood and Polish listed group BBI have been granted a EUR 105 mln loan to finance the construction of their joint office project in Warsaw.

Plac Unii - a retail and office complex providing 55,000 m² of space - received a EUR 105 mln credit facility from Bank Pekao, with the potential to reach a size of EUR 120 mln.

The project is 40%-prelet and is planned to open in October 2013. Warbud is the general contractor.

'We focused on negotiating the best credit conditions, which was a challenge considering the amounts involved and current market conditions,' said Micha³ Skotnicki, president of the board of BBI Development.

'In the current market conditions, Bank Pekao is one of the few banks which are actively financing new construction projects in commercial real estate,' noted Monika Mielecka, director of Bank Pekao's commercial real estate finance team.

Plac Unii will comprise three office buildings consisting of a 90-metre high skyscraper and two six-storey buildings offering a total of 41,000 m². The scheme will also provide a 15,500 m² shopping area, called the ´City Gallery'.