Mirland Dev Corp PLC (MLD) - Financing for St. Petersburg Development
RNS Number : 4885Q
Mirland Development Corporation PLC
07 November 2012
7 November 2012
MirLand Development Corporation plc
("MirLand" or the "Company")
New construction financing and launch of marketing for the second phase of
Triumph Park residential development in St. Petersburg
MirLand, one of Russia's leading residential and commercial property
developers, announces that its wholly owned subsidiary Petra 8 LLC ("Petra")
has today entered into new loan agreement with SberBank of Russia Bank
("SberBank" or the "Bank"). This will provide a line of credit of
approximately $47.5 million (the "Loan"). The purpose of the Loan is to
finance the construction of 630 apartments, being the second phase of
MirLand's "Triumph Park" mixed use residential development in St. Petersburg.
The Loan will provide approximately 70% of the construction cost of the second
phase of the project and and fulfils the outstanding funding requirement for
the project. It will be provided to Petra in installments over the next 24
months, and will be secured by appropriate mortgages, charges, pledges and
other customary security interests for the benefit of the Bank and entered
into by Petra and the Company. The Loan matures in three years, and is in
addition to the facility that was previously granted by the Bank to Petra, the
outstanding balance of which, to date, is approximately $2 million.
MirLand launched its sales campaign for this second phase of Triumph Park on
September 24 2012 and has pre-sold 190 out of the 630 units, representing
approximately 30% of the phase. This follows the successful marketing of the
first phase of the project, from which 480 of 510 units have been pre-sold in
less than one year. Total proceeds from the both phases amounted to
approximately $85 million. Completion of construction of the first phase is
planned for Q2 2013.
The project offers high quality, competitively priced housing in St.
Petersburg's strengthening residential market. Situated on a well located, 40
hectare site, the scheme represents one of the few large scale developments in
the city in close proximity to major transport links. Furthermore the
development will be the first eco-residential complex certified by BREEAM, the
world's leading assessment organization of green and sustainable building, in
St. Petersburg. It will provide attractive features including ecologically
friendly construction materials, energy efficient design, reduced CO2
emissions, water purification filters and high speed eco lifts certified
according to ISO 14001. The flexibility of the apartment mix both as to range
of sizes and fit-out options is designed to appeal to a wide range of
The total net sellable area of the second phase of the project is
approximately 32,600 square metres and there will be 1,500 square metres of
retail space and two levels of underground parking providing 106 spaces.
Physical completion of the second phase is planned for Q4 2014.
When the entire development is finished in 2020, Triumph Park will comprise
9,000 apartments, approximately 58,000 square metres of retail space, 60,000
square metres of offices and a variety of public amenities such as
kindergartens, schools and parks.
Commenting on the Loan and the launch of marketing of Triumph Park, MirLand's
Chairman Nigel Wright said:
"Securing financing for the second phase of Triumph Park from Sberbank is a
further valuable endorsement of the project and builds on the success of the
first phase, also funded by SberBank. Sales of first phase and early interest
in the second have been very strong, underlining the desirable specification
and excellent location of the property. I am confident that the development
will continue to prove very successful."
For further information, please visitwww.mirland-development.com, or contact:
MirLand Development Corporation plc
Roman Rozental +7 495 787 49 62
email@example.com +7 499 130 31 09
Dido Laurimore / Will Henderson +44 20 7831 3113
This information is provided by RNS
The company news service from the London Stock Exchange
MSCBFBRTMBTMBBT -0- Nov/07/2012 07:00 GMT
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