Pbb Deutsche Pfandbriefbank is providing a €112 million loan to finance construction and long-term maintenance of the KARL office-led development project in the centre of Munich.
Designed by London-based architect David Chipperfield, KARL is being built at Karlstrasse, in the vicinity of Munich's central railway station.
The complex will be built in the former 'Brewery Quarter', right behind Munich's main station. The scheme will offer a mix of different usage types, with a focus on offices. The Brecht-Bergen family of entrepreneurs are the developers and borrowers.
Pbb said the financial facility expanded its business with wealthy private clients. The bank is seeking to diversify its real estate finance business by tapping new client groups, including wealthy private investors. To this end, the bank cooperates with asset managers who do not offer real estate finance facilities themselves, or directly with family offices.
Cube
The Karl scheme will comprise 30,000 m2 of rentable space, plus around 300 underground car parking spaces. The building will be cube-like in shape, and feature a distinctive façade in concrete and natural stone: furthermore, each of the four sides will be clearly visible from the surrounding streets. The cube’s interior courtyard will feature a 1,400 m2 garden, with a pond.
Construction is set to start in 2018, with completion scheduled for 2021. The developers are seeking to obtain LEED Gold certification for the project.
Gerhard Meitinger, pbb's head of real estate finance for Germany, said: 'KARL will be attractive to businesses, thanks to its central location and state-of-the-art office design. We are also delighted to have the opportunity to work with the Brecht-Bergen family for the first time, providing evidence of our growing network amongst high net worth private clients.'
