€9 million mezzanine bridge loan to developer Revitalis for Prager Caree in Dresden
Activum SG Capital Management Ltd., the German focused real estate fund manager, extends a mezzanine bridge loan to developer Revitalis for “Prager Caree” – a mixed use development project consisting of approximately 250 residential units and 5,000 square meters of retail along Pragerstrasse – the premier high street shopping district in Dresden.
The mezzanine loan, along with a senior loan from DG Hyp, will allow Revitalis to purchase the site from the City of Dresden. Final negotiations are still underway for the site purchase, but plans are for construction to begin in June 2014 with completion in June 2016. Leasing of the future site is already underway.
Activum SG founder Saul Goldstein stated “We are thrilled to do our second mezzanine loan in the past year in Germany after the successful Frankfurt “MA” project with developer Ardi Goldman. The Dresden project proves our thesis that there is an ever growing need for development capital beyond traditional senior debt. We were particularly attracted to the high quality of the underlying asset, the excellent location, experienced development partner, the positive future outlook for the Dresden market, and the solid return on capital. We continue to seek out such projects on a selective basis.”
Activum SG Capital Management Ltd. was advised by Berlin based Activum SG Advisory GmbH and Olswang Germany LLP.
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About Activum SG
Activum SG Capital Management Ltd. is a Jersey-based real estate fund manager – regulated by the Jersey Financial Services Commission – that repositions real estate related investments, primarily in Germany. It manages a series of discretionary real estate funds and is advised by Berlin based Activum SG Advisory GmbH. The group was founded in 2007 by Saul Goldstein and currently has a team of eleven. For more information, visit website at activumsg.com or follow Activum on Twitter @activumsg.