Chmielna 89 – a landmark on Warsaw’s skyline

 

Chmielna 89 is a 14-storey Grade A office building, known for its distinctive “crystal-shaped” architecture that has become a landmark in Warsaw’s CBD. Completed in 2020, it offers more than 25,000 sqm of modern office and service space.

The property combines high technical standards with a strong ESG profile, holding a BREEAM “Excellent” certification. Currently, over 95% of the space is leased, primarily to one of Poland’s leading financial institutions under a long-term agreement.

 

A strong signal to the market

 

The €61 million refinancing, provided by Santander Bank Polska and Bank Pekao S.A., underlines the stability of the Warsaw office market. Financial institutions continue to recognize the potential of prime, fully let Grade A buildings, which deliver secure cash flows and long-term investment value.

 

– Since its completion in 2020, Chmielna 89 has established itself as one of the top office assets in Warsaw. Refinancing with the participation of new partners highlights the unique quality of this property, said Andrew Brown, Vice President at Madison International Realty.

 

– This is a flagship project in our portfolio and proof that Cavatina consistently delivers modern, sustainable, and architecturally distinctive office buildings. Securing this refinancing demonstrates the strength of the asset and the trust of financial institutions in our strategy, added Daniel Draga, Vice President at Cavatina Holding.

 

Professional support throughout the process

 

The refinancing was supported by a group of advisors:

 

  • Greenberg Traurig – legal advisor to Madison and Cavatina,

  • CMS – legal advisor to the banks,

  • CBRE – responsible for property valuation,

  • Gleeds – technical advisor.

 

Their involvement ensured a financing structure that strengthens the long-term stability of the project.

 

Implications for the Warsaw office market

 

The refinancing of Chmielna 89 illustrates that institutional investors continue to view Warsaw as a secure and attractive office market within the CEE region. Prime Grade A properties with high occupancy and ESG credentials remain at the center of attention for both investors and lenders.

 

Summary

 

Chmielna 89 is not only an architectural icon of Warsaw but also a proven investment asset. The €61 million refinancing shows that, despite challenges, the Polish capital continues to attract international capital and solidifies its position as one of the most important office markets in Central and Eastern Europe.

 

source: europaproperty.com