OREANDA-NEWS. December 3, 2007. The leading international bank Eurohypo AG and the largest developer of industrial real estate "Eurasia Logistics" informed that the companies had signed an agreement for credit financing in the amount of 747 million US dollars to finance the construction and to further refinance the first three stages of Europe's largest Class A logistics complex "North Domodedovo", totaling 1.1 million square meters in area. Jones Lang LaSalle and the law firm Baker&McKenzie acted as "Eurasia Logistics" consultants in this transaction. The bank was legally represented in this transaction by Clifford Chance.

James Corrigan, Director, Department of Financial Markets and Investment, Jones Lang LaSalle, Russia and the CIS: "We are happy to represent "Eurasia Logistics" in this transaction which is very significant for the market. The scale of the transaction confirms that the Russian real estate market has made tremendous progress as far as the quality of investment products is concerned."

According to the signed credit financing agreement, the initial term of financing is 5 years, but it may be extended to 10 years. Financing will be provided and used in several tranches. The first tranche in the amount of 168 million US dollars has already been received by the developer as the first stage of construction, totaling 375 thousand square meters, has been completed. The remaining stages will be completed and opened by 2009. Eurohypo has provided underwriting for the entire sum of the financing.

"We are happy that our most significant project – North Domodedovo – has been esteemed so highly by Eurohypo, one of the world’s largest banks, specializing in financing of commercial real estate. In my opinion, this transaction confirms not only the success of North Domodedovo, but of the success of the entire project to create a network of industrial complexes, currently realized by "Eurasia Logistics", said Artyom Bondarenko, Financial Director, "Eurasia Logistics".

With the transaction having been finalized, Eurohypo has become "Eurasia Logistics" strategic partner. Both parties look forward to future transactions between the two companies, Vadim Ulchenko, Head of the Representative Office of Eurohypo AG bank in Moscow, said: "As far as the volume of financing is concerned, our transaction is the most significant of all transaction in the modern history of the Russian commercial real estate market. By signing and realizing this agreement, the bank has shown its financial opportunities to the global investment society, even in the times of the global liquidity crisis. We are happy to be working with "Eurasia Logistics" and finance this symbolic project. The success that this project has enjoyed so far speaks for the high level of professionalism of "Eurasia Logistics" team."

Eurohypo AG is a leading international bank, specializing in commercial real estate financing and public financing. The capital of the company is more than 6 billion Euros; it has 37 registered offices in 28 countries. Since 2006 the bank has been rapidly expanding in Russia. The bank's key strategy is international diversification. Russia is one of the most rapidly developing economies in the world; this is why the Russian market is very important for Eurohypo.

Jones Lang LaSalle provides complex services in the sphere of real estate and capital management locally, regionally and globally, to owners, tenants and investors. The company's portfolio consists of more than 92.9 million square meters all over the world. In 2006 the total value of all purchase, sale and financing transactions, concluded by Jones Lang LaSalle, was 70.9 billion US dollars. In 2006 the turnover of the company was approximately 2 billion US dollars. LaSalle Investment Management, the company's investment management branch, is one of the largest and the most diversified in the world, managing assets worth approximately 40.6 billion US dollars.