PL

Busy BBI

Office & mixed-use development
POLAND They entered the New Year with some enthusiasm. Negotiations were finalised for a leasable area of 12,100 sqm and Pekao bank was persuaded to grant them a loan of EUR 105 mln for the Plac Unii office and retail development in Warsaw.
They have also chosen a general contractor for the ground-level part of the project - Warbud, which is to be paid EUR 49.8 mln for its work. The three-building complex, the construction of which started at the end of 2010, is a joint enterprise of the BBI Development NFI fund and Liebrecht & Wood. Its anchor tenants are three companies from ING Group: ING Bank Śląski, ING Securities and ING Lease, which are to occupy eleven floors (including the top ten floors of this 90m tower, now to be known as ING Tower) for ten years. "Securing such a tenant," explains one expert, "even with a discount in the form of rent holidays and interior design, for example, which is common in the case of such significant transactions, represents a great success. The divergence between starting rent rates and effective ones is currently quite big, so there must have been a difference of between a probable starting rate of EUR 20 per sqm and around EUR 15 - the effective rate. Even though last year's l
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