Aug. 29 (Bloomberg) -- IVG Institutional Funds GmbH, a subsidiary of IVG Immobilien AG, plans to sell the Silberturm skyscraper in Frankfurt for about 450 million euros ($600 million), according two people with knowledge of the matter.
The 32-story tower, Germany’s tallest building when it was completed in 1978 as Dresdner Bank AG’s headquarters, will be sold by an investment fund managed by IVG Institutional Funds, said the people, who asked not to be named because the sale is private.
Creditors took control of IVG Immobilien, once Germany’s biggest property company, as part of a plan to restructure 3.2 billion euros of the company’s debt. The Silberturm is part of the 12 billion euros of real estate that IVG’s investment unit, which wasn’t taken over by creditors, manages for clients.
Separately, IVG Immobilien owns office buildings valued at 4 billion euros. The company is in the process of selling its biggest property, The Squaire office and hotel building next to Frankfurt Airport, two people with knowledge of the deal said on Wednesday.
In March, IVG Immobilien agreed to sell its private investors business, which manages a fund that owns a 50 percent stake in London’s Gherkin tower, to German competitor Zech Group GmbH. The Gherkin, officially called 30 St. Mary Axe, has since been put up for sale.
The Silberturm, on Frankfurt’s Juergen-Ponto-Platz, is 166 meters (545 feet) tall and has 33,400 square meters (360,000 square feet) of space, according to IVG Immobilien’s website. It’s now rented to railway company Deutsche Bahn AG.
IVG’s fund bought the skyscraper in 2011 from Commerzbank AG.
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