As Italian authorities focus on Signa founder René Benko, the sale of some of the bankrupt group’s luxury properties in Berlin and Vienna, which have been bundled into Signa Prime Selection AG, is progressing. The Park Hyatt hotel in central Vienna is expected to be sold in mid-2025.
The pompous German headquarters, the 33-storey high-rise in Upper West, will be sold in December, according to the current receiver’s report. The Park Hyatt hotel in central Vienna is expected to be sold in mid-2025.
VfGH building complex also before sale
According to the report by law firm Abel, the exploitation process of the “Renngasse Wien” will also be completed by early 2025. This refers to the building complex in which the Constitutional Court and the Art Forum are located. The deadline for binding offers ends on December 6. “Due to the positive feedback” there is confidence that a signing will take place soon.
The sales process drags on
The sales process for Signa properties has been a bit slow so far. Law firm Abel noted that the legal discourse surrounding the type of procedure had slowed down exploitation. Changing the type of procedure entails “a not insignificant risk of a substantial deterioration of the ratings”. Creditors could therefore receive less from the insolvency capital than initially thought.
As a result of the decision of the Supreme Court (OGH), the Vienna Commercial Court changed Signa Prime’s insolvency proceedings from restructuring to bankruptcy by decision dated October 31, 2024, revoked self-administration and appointed Abel Rechtsanwälte GmbH as liquidator.
The real estate market did not recover
The expected interest rate turnaround has now taken place, but the recovery predicted by market parties in the real estate market, and in particular the commercial real estate market, has not taken place, according to the report to creditors.
According to the information, the marketing process for the Upper West high-rise on Breitscheidplatz (Berlin-Charlottenburg) between Kurfürstendamm and the zoo started in early June. The bids and bidder discussions took place in September. We are now in the home phase: further negotiations are now taking place “with the granting of temporary exclusivity”. The contract is expected to be signed “in December”.
The structuring of the sales process for the Am Hof property, or the Park Hyatt Vienna, is currently being coordinated. The aim is to achieve the best possible exploitation of the property by mid-2025 through a structured bidding process.
But the trustee doesn’t just collect money through the sale of real estate. A total of 16 lawsuits were filed in October and November – with claims amounting to a total amount of 471 million euros, compared to previously 456 million euros. In addition, the compensation received by the members of the Supervisory Board in 2023 has been challenged out of court. The majority of the commissioners have ensured that these amounts are repaid.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
