Financed ProjectsBridge Plaza Baku

Identification Code:

OP/08/0708

Total Operation Cost:

0

Maturity:

66 months

Operation Status:

Description and Purpose of the Operation:

Provision of long-term financing to Azservis LLC, an Azeri private company, for finalizing the construction of Bridge Plaza office building, a 14-storey A-class office building in a prime location in Baku and for refinancing existing loans taken in the past by Azservis LLC for the investment. As of February 2012, the construction was completed and occupancy rate exceeded 70%.

Countries of Operation:

Azerbaijan (100,00 %)

Financial Product:

Loans

Sector:

Real Estate

Domain:

Private

Borrower/Client:

Azservis LLC

Co-Financiers/Participants:

Guarantors/Sponsors:

Pasha Bank OJSC

Developmental and Regional Cooperation Impact:

The BSTDB provided the needed long-term funding (5-year maturity, six months grace period) for the Project. Such funding was provided at a reasonable cost, otherwise not available on the Azerbaijani banking market and was instrumental in enabling the Borrower to complete the Project, five years after commencing the construction.

Environmental Classification and Impact (summary):

The Operation is associated with EHS impacts specific to the real estate development and according to the Bank’s environmental screening it has been assigned category B. The main issues considered during Environmental Assessment were: waste disposal, air emissions, noise, worker health and safety, and construction standards and rules employed. Due to the nature of the business and location of the proposed development, as well as the intended use of the building, the likely impacts were found to be limited and rather insignificant.

Operation Leader:

General Industries, Transport, Tourism 2

E-mail:

gitt2@bstdb.org