- Purchase of two properties by real estate fund set up by DaimlerChrysler Services Structured Finance GmbH financed
- Underwritten amount totals €66 million
The German office of Hypo Real Estate Bank International has financed the purchase of the DaimlerChrysler Global Training Center that is currently under construction and the SchwabenGalerie shopping and administration center in the Vaihingen district of Stuttgart by a closed-end real estate fund set up by fund initiator DaimlerChrysler Services Structured Finance GmbH. The bank has underwritten an amount of €66 million out of the total finance volume of €165 million.
This transaction represents the first facility of this type executed by the bank´s Munich office in Germany. The overall investment volume totals €200 million, of which €76 million will be contributed in 2004 as equity capital by placing the fund shares. The long-term share of external finance (with a term of nine years) totaling €124 million and proportional temporary equity finance of €41 million will be provided by a consortium comprising the two arrangers, the German office of Hypo Real Estate Bank International
and HSH Nordbank, which is additionally acting as facility agent.
Scheduled for completion by the middle of 2004, the DaimlerChrysler Global Training Center is a five-floor office complex featuring training and office facilities, a TV studio, and a canteen. The rented floorspace totals around 17,300 square meters, and three hundred underground parking spaces are provided. The complete office complex has been rented to DaimlerChrysler AG for 15 years. Each year, up to 80,000 sales staff of
DaimlerChrysler AG are to receive training in the fields of management, technology and sales in the building.
The SchwabenGalerie is a newly constructed district community development on the other side of the DaimlerChrysler Global Training Center, offering rental floorspace of around 41,300 square meters and 1,135 underground parking spaces. The project comprises a shopping and administration center complete with office space, and a 134-room hotel which has been rented by a subsidiary of DaimlerChrysler AG for 15 years. The scheme also includes a community center, housing a music school and
facilities for clubs and events etc., which will be made available for use by the city of Stuttgart.
Source: Hypo Real Estate Bank International