PANDION AG has concluded a project financing agreement of EUR 240 million with Apollo (NYSE: APO) for the development of the OFFICEHOME Beat office project in Munich's Werksviertel. The project comprises around 33,000 square meters of gross floor space and is fully let to Siemens AG as a single tenant. The location in the Werksviertel is one of Munich's dynamic and sought-after inner-city development districts and stands for a modern, urban working environment in a central location.
Financing from funds managed by Apollo forms the basis for the realization of one of the most important office projects in the Munich market. The building is aiming for DGNB Gold certification and WiredScore Gold status.
"The financing of the OFFICEHOME Beat by Apollo confirms the strong economic substance of the project. With an internationally renowned financing partner and a blue-chip tenant such as Siemens, the project underlines the attractiveness of our OFFICEHOME concept in top German locations," says Reinhold Knodel, CEO of PANDION AG.
The transaction illustrates the confidence of international investors in high-quality, sustainably designed office developments in central locations in German cities.
"We are excited to accompany the development of the OFFICEHOME Beat," says Ben Eppley, Partner at Apollo. "The project combines a first-class inner-city location, a top tenant that is secured in the long term and a convincing architectural and sustainable concept. It is therefore in line with our strategy of financing the realisation of high-quality real estate projects with a stable economic basis."
PANDION AG was advised by VICTORIA PARTNERS on the structuring of the financing solution.
