LenSpetsSMU pays first tranche and sets fixed rate under the credit line opened by Alfa-Bank in the international financing deal for "Jubilee Quarter 78A" project


On 16.01.2013, CJSC SSMO LenSpetsSMU rendered payment, in full and on time, of the first tranche in the amount of EUR 8.5 mln under the credit line opened by Alfa-Bank in a deal involving international financing for the 2nd apartment block of "Jubilee Quarter 78A" project.

In 2010, in order to secure implementation of the project, LenSpetsSMU joined forces with Budostal-3 Export and Alfa-Bank, under the participation of a consortium of German banks and the Polish export credit agency KUKE S.A. to strike Russia’s first deal involving the attraction of import-export financing in the residential construction segment. On 8 August 2012, CJSC SSMO LenSpetsSMU received authorization for commissioning of the property, encompassing total and useable space of 66,601.5 sq m and 52,939.2 sq m, respectively.

The total amount of the credit line opened by Alfa-Bank for financing of the deal reached EUR 39 mln; that said, CJSC SSMO LenSpetsSMU’s actual debt under the credit line amounted to EUR 33.6 mln. The borrowed funds are being repaid in 4 tranches; following payment of the first tranche, LenSpetsSMU’s loan indebtedness under the credit line dropped to EUR 25.1 mln.

At the same time, LenSpetsSMU reached an agreement with Alfa-Bank and the consortium of German banks on shifting from a floating interest rate to a fixed rate under the credit line, with payment of the final tranche scheduled for July 2014. The decision made it possible to hit EURIBOR, to which the interest rate under the line of credit was linked, the local minimum, and furthered the company’s goal of minimizing financial risks.


Kseniya Savchuk

Acting head of Public Relations

+7 (812) 348-21-25


Yana Yashchenko

Deputy CFO

+7 (812) 348-09-95