Enlarge image
Golden Quarter in Vienna: Signa Prime is selling off real estate
Photo: Georges Schneider / photonews.at / IMAGO
The luxury real estate company Signa Prime Selection AG is selling valuable properties in Austria as part of its insolvency proceedings. As the insolvency administration announced on Tuesday evening, the building of the Austrian Constitutional Court, the luxury hotel Park Hyatt Vienna and the upscale Goldenes Quartier shopping mile in Vienna are to find new owners. Also for sale is a shopping center in Innsbruck, which was one of Signa founder René Benko's first high-profile projects 20 years ago.
There was no information on the future of German Signa properties on Tuesday. Signa Prime's portfolio includes the Alte Akademie in Munich, Hauptwache 1 in Frankfurt am Main and the Elbtower project in Hamburg.
By mid-January, Signa Prime's creditors had registered claims of around 464 million euros. During the insolvency proceedings, at least 30 percent of the outstanding amounts should be repaid. This will be partially financed by the structured sale of buildings that is now beginning, according to the insolvency administrator, the Viennese law firm Abel.
Court hears Benko's solvency
The Signa Group, founded by the Austrian entrepreneur Benko, expanded rapidly during the low interest rate phase. As interest rates, construction costs and energy prices rose sharply, the real estate and trading group slipped into crisis.
On Tuesday, the Innsbruck regional court also dealt with the question of René Benko's personal solvency. A non-public hearing took place in Benko's absence.
The Republic of Austria had filed for insolvency against the founder of the ailing real estate and trading group. However, there has been no decision yet, as the court in Benko's hometown announced. The judge requested further documents by the beginning of March in order to then either initiate personal insolvency proceedings or reject the state's application. Benko's lawyers had no comment.
kko/dpa