Pbb provides €32m loan for new hotel in Hamburg

German lender pbb Deutsche Pfandbriefbank has provided a project financing for the construction of a new hotel building in Hamburg's City Nord.

The loan in the amount of €32 mln was provided to a property company managed by TAS Group.

The 19-floor hotel tower, to be built on the site of a former BP building, is planned to provide 15,900 m2 in gross floor area. Designed by architects MPP Meding Plan + Projekt, the hotel will have just under 300 rooms, a conference area of over 730 m2, as well as restaurant and bar facilities.

Bierwirth & Kluth Group will operate the four-star Holiday Inn hotel under a franchise agreement with InterContinental Hotels Group (IHG).

'Pbb Deutsche Pfandbriefbank is active on the market for hotel financings, on a selective basis and at selected locations. As the third-largest German market for hotel accommodation (after Berlin and Munich), Hamburg has shown an extraordinary level of growth over recent years. Likewise, City Nord is an attractive office location in Hamburg, where TAS Group has already developed other projects,' commented Gerhard Meitinger, head of Real Estate Finance Germany at pbb Deutsche Pfandbriefbank.