The Berlin real estate investment company Linus Capital has structured a so-called whole loan financing of EUR 45 million for the project development in Leipzig known as "Quartier Krystallpalast".
The Berlin real estate investment company Linus Capital has structured a so-called whole loan financing of EUR 45 million for the project development in Leipzig known as "Quartier Krystallpalast". The quarter development planned by the real estate investor ARGO Capital Partners provides for a gross floor area of around 55,000 m² on one of the most central plots of land in Leipzig in the immediate vicinity of the main railway station. On the site of the once legendary amusement centre Krystallpalast, various buildings with residential, office and retail uses as well as a hotel of the "Me and All Hotels" chain are being built.
"Currently, the mixed uses are being poured into an urban and architectural planning in close coordination with the city of Leipzig," explains Jörg Kollmeier, shareholder of ARGO Capital Partners. He expects construction of the quarter to start next year. All in all, the Krystallpalast quarter is based on the typical Leipzig perimeter block development with its closed construction on the street side and loosened up towards the inside by generous courtyards, which were also laid down in the workshop procedure.
Linus CEO David Neuhoff is absolutely convinced of the property in Saxony's largest city: "Leipzig is one of the most up-and-coming cities in the whole of Germany and the project that ARGO is going to realise here is truly spectacular. We are very pleased to support the project with financing".
The Whole-Loan is used to finance the purchase costs as well as the planning costs of work phases 1 - 5. The loan was granted by the EUR 350 million debt-fund managed by Linus Capital and by an institutional co-investor who has invested with Linus Capital on several occasions. This financing increases the financing volume structured by Linus over the past twelve months in the whole loan segment to over 180 million euros.
"Whole-loans offer project developers fast and uncomplicated financing from one source. As planned, we have greatly expanded our activities in this area in 2019 and intend to continue this trend. We have a further financing volume of around 130 million euros in the pipeline for the coming months. In addition to our fund, insurance companies, pension funds and banks regularly act as syndicate partners for these financings. Some partners have already participated in several financings with us in 2019," comments Linus CEO David Neuhoff.
About Linus Capital
Linus Capital is a real estate investment platform for experienced investors. The company acts as anchor investor in the mezzanine and whole-loan investments it brokers and is supervised by Bafin as a capital management company (KVG). Investors such as institutional investors, family offices and high net worth individuals are generally invested through Linus for between 12 and 36 months.
Media contact Linus Capital
Phone: +49 6131 930 28 33
About ARGO CAPITAL PARTNERS ARGO CAPITAL PARTNERS was founded in 2016 by Jörg Kollmeier and Harald Müller. The real estate investor from Luxembourg has specialised in the development of high-quality quarters in the German TOP 7 locations as well as in good micro-locations of selected university locations and B-cities. The company is also broadly positioned in terms of content and invests not only in the area of housing including social infrastructure such as daycare centres (e.g. in the Baumwollquartier, Cologne), but also in the office, hotel and serviced apartments segments. In addition, projects in the retail, student and micro-apartment segments are also financed. A special feature, in addition to the broad positioning, is the very early entry into the projects, often even before a site is ready for planning. The liquidity for the usually large-volume projects comes from our own funds as well as from institutional investors or family offices in Germany and Europe.
Press contact ARGO CAPITAL PARTNERS:
Eckel Press & PR GmbH
Britta Berger & David Eckel
Phone: +49 30 889 12 988