6B47 Poland has acquired a 0.22 ha site on ul. Grochowska in Warsaw’s Praga Południe district from petrol station operator Circle K for the development of a 12,000 sqm student housing project. The developer was advised by BSWW Legal & Tax, Accace and ó TPA Real Estate Services.
“After selling the Silesia Outlet project for €31.5 million, we have entered the student dormitory sector with our first project in Warsaw. By selling the outlet in Gliwice, we secured capital for the purchase of further plots. We are glad that we were able to obtain additional capital for this project from a new investor who is co-financing this project with us,” commented Mirosław Januszko, Member of the Board at 6B47 Poland. “Our idea is to co-finance our projects with the participation of external investors involved in a specific project. We invest between 10% and 40% of our own capital in each project, and the rest consists of private investors’ equity. We offer a profit between 10% and 15% per year, which is an attractive return on capital. To minimise the risk to our investors, we prepare projects for institutional investors who buy them back from us after the whole development process is finished. We also carry out projects in the form of joint ventures, forward funding and forward purchase. We secure projects for which we prepare a business plan in advance. Financing is secured in the phase of obtaining the building permit. With a project prepared this way, we are open for cooperation with potential investors. We see that investors on the student housing market are very interested in this project, therefore we have decided to engage in further investments in this segment. The company is particularly eager to buy plots of land or completed buildings from institutions for which such assets are no longer needed – as was the case with Circle K. We are active in the residential and hospitality segment – dormitories, resi-for-rent / PRS and hotels. We are also looking at the warehouse segment and small business units.”
The list of projects 6B47 Poland, part of the Vienna-based 6B47 group, have completed includes the Zyndrama boutique apartments in Wrocław and Silesia Outlet Centre in Gliwice. Recently it has secured land for a housing and service development near Wrocław’s Old Town.
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