Reinhold obliged to sell property on Korfantego Av.

A subsidiary of Reinhold Polska – developer of the Reinhold Center office building – was obliged to sell a property located at 138 Korfantego Av. The property consists of six plots bordering the Center. Previously, Reinhold has been planning to build there next stages of the office complex.

After delivering Reinhold Center in the middle of 2010, Reinhold has announced to expand the complex by three additional buildings, each of over ten storeys and 9 000 sq. meters of space for lease. The plans have never been implemented.

Now Reinhold has to sold the property designed for the next stages. The obligation refers to an agreement signed with Bank Zachodni WBK S.A. It is stated that the developer has to take several steps to secure the repayment of credits granted by WBK to Reinhold in 2010. One of the steps is to sold the property.

Additionally, Reinhold Polska is obliged to take active measures in order to lease the total office and commercial space in Reinhold Center according to market and acceptable by WBK rates. Both liabilities are to be performed until 20th of December 2012.

In 2010, PKP Cargo has leased 5 849 sq. meters of the office space in the building. After concluding the lease agreement total percentage of leased space in the whole building was 81 percent. Reinhold Center offers 8 635 sq. meters of which about 7 200 sq. meters are the rentable office area. In 2011, Reinhold Polska has concluded an initial agreement to sell the existing building to PKP Cargo. However, the final contract has not been signed by the parties yet.