Hamburg Commercial Bank AG (HCOB) is providing the HEREP III real estate fund initiated by Hines with financing in the high double-digit million euro range. The funds will be used to purchase a 284,000m2 plot of land and construct a total of 115,000m2 of commercial and industrial real estate in Grimma, the catchment area of the Leipzig logistics hub.
The future commercial and industrial park consists of two construction phases, each with six separate rental areas. The building will meet the latest energy standards and the aim is to achieve DGNB Platinum certification (DGNB: German Sustainable Building Council). Construction of the new centre is scheduled to begin in the second quarter of 2024 and the facility is expected to be completed by the end of 2025.
“With this financing, we are pleased to further expand our long-standing and very good business relationship with our client Hines, which has enormous expertise in this market,” said Peter Axmann, Head of Real Estate Clients at Hamburg Commercial Bank.
"By financing our project development in the current market environment, we can rely on HCOB as a long-standing partner who understands risk-return profiles and anti-cyclical action and reflects our demands for construction quality and sustainability in its own strategy,” said Christian Meister, Managing Director and Head of Hines' Munich office.
Image provided by Hamburg Commercial Bank AG.
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