News Item
CALA Properties secures major prefunding deal - a vote of confidence in Glasgow
19 Nov 2002
<IMG SRC="http://www.cala.co.uk/images/news imagescentral.gif" width="500"><br><br>CALA Properties has completed a £30 million pre-funding deal with the German fund Internationales Immobilien-Institut GmbH (iii-Fonds) for a major office development in Glasgow city centre. <br><br> The deal with CALA Properties is iii-Fonds’ first pre-funding commitment of a speculative office development outside London and is a huge vote of confidence in the strength of the commercial property market in Glasgow. <br><br> Stewart Mackay, Managing Director of CALA Properties said, “We are delighted to announce this major funding deal. A speculative pre-funding investment such as this is not only good news for CALA Properties but for Glasgow and Scotland in general.” <br><br> The development, to be called Central Exchange, is situated on the corner of Waterloo Street and Wellington Street and is widely considered as the best city centre office site currently available for development. <br><br> Stewart Mackay added, “We have always believed in the strength of the location of Central Exchange, being a strategic site within both the Central Business District and Glasgow’s new International Financial Services District. This was a major factor in attracting a pre-funding arrangement and also reflects a strong level of occupier interest.” <br><br> Herr Scholl, Head of Real Estate Business for iii-Fonds said, “We are delighted to be investing in Glasgow again and to have another opportunity to do business with CALA Properties. Our £30 million investment at Central Exchange clearly signals our belief in the office market in Glasgow.” In 1998 iii-Fonds pre funded CALA Properties’ development of the new SMG headquarters at Renfield Street in Glasgow. <br><br> David Davidson, Partner with Cushman & Wakefield Healey & Baker, adviser to iii-Fonds, commented, “Glasgow is an attractive location for German Open Ended Funds. It offers high quality investment stock with good prospects for rental growth. Central Exchange is an exceptionally high quality office development in a strong location. iii-Fonds share CALA’s confidence that Central Exchange will be extremely attractive to prospective tenants.” <br><br> Preliminary site works are under way and the appointment of the main contractor will be announced before the end of November. <br><br> Central Exchange will comprise 96,000 square feet of Grade A offices over basement, ground and seven upper floors. Distinctive within the Central Business District, the building will offer large, virtually column free floor plates of up to 13,293 square feet. <br><br> The office space will be available for tenant fit out in March 2004. <br><br> CALA Properties have successfully completed and let two major Glasgow developments in the last two years, the SMG headquarters at Renfield Street and 151 West George Street.
| PR CONTACTS FOR CALA PROPERTIES | |
CALA Group Limited tel: 0131 535 5200 |
Reay Public Relations Ltd. tel/fax: 01369 840042 |
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