Deutsche Pfandbriefbank has provided a loan of €75 mln to real estate company CA Immo for the construction of a residential, office and hotel complex in Munich, dubbed Neo.
Currently under development on the site of the former Munich railway yard, Berg am Laim, Neo will rise in a new city district called Baumkirchen Mitte. Situated on a 130,000 m2 plot, the scheme will comprise a 60 metre tower, with 16 floors for hotel and office facilities as well as six floors of residential space.
'Neo has the potential to further vitalise the new city district, and to create new spaces for attractive and easily accessible workplaces. As a financing partner, we are pleased to support demanding projects and ambitious investments with experienced real
estate companies such as CA Immo,' commented Gerhard Meitinger, head of Real Estate Finance Germany at pbb.
A 25-year tenancy agreement has been signed for the hotel facilities with Tristar, which will operate a Hampton by Hilton hotel in the tower. 140 parking spaces have been planned underground, as well as charging points for electric cars, plus links to the public transport network.
This project represents the fourth and final construction section of Baumkirchen Mitte. The other three residential construction stages have also been financed by pbb, and are largely completed.
'We are currently implementing international real estate projects with a total investment volume in excess of €1 bn,' commented Dr Hans Volkert Vlockens, CFO of CA Immo. 'Knowing that we have strong financing partners by our side for projects of these dimensions is a key success factor. Deutsche Pfandbriefbank AG has already proven a reliable and professional partner for us in the Baumkirchen Mitte project since 2013.'
