FM newsroom – Budapest, office market. HB Reavis Investments Group have successfully negotiated a 5-year extension of an investment loan with Erste Group and Raiffeisen Bank for the total amount of EUR 160 million for Agora Budapest, an inspiring business and lifestyle hub with premium category offices.
The original loan was granted five years ago and was recognised as one of the most significant transactions on the market. Prolongation of the loan shows the confidence banks have in the developer’s commitment to delivering outstanding projects, the announcement says.
Agora Budapest: A Sustainable Twin-Tower Project
Agora Budapest is a project consisting of two buildings: Agora Hub and Agora Tower. The focus on sustainability goes hand in hand with the group’s long-term strategy. At the moment, both buildings are undergoing the BREEAM In-Use 2015 Excellent certification process. Once achieved, the loan will be classified as green under Hungarian National Bank regulations.
“The loan extension is a testament to the trust placed in the Agora project and our high-end office spaces in Budapest. The financing banks have supported us since the project’s early days, and we are grateful for their continued trust. Their support evolves alongside our commitment to ESG principles and our goal of becoming a more responsible workspace provider,” points out Tomáš Krajčír, CFO of HB Reavis Investments.
The loan extension aligns with Erste Group’s and Raiffeisen Bank’s broader investment strategy of supporting sustainable, high-quality assets to generate long-term returns. Agora Budapest proved to have strong resilience, even with dynamic market shifts over the past years and therefore, secured an established position in the bank’s portfolio.
A Magnet for Leading Brands
Agora Budapest aspires to be a hub for strong brands, supporting them in achieving their long-term sustainability and productivity goals. With an occupancy rate nearing 95%, the project clearly holds unique appeal for leading brands. The extended loan will further enhance their experience while also contributing to the city’s urban development.
