OREANDA-NEWS. December 19, 2014. Sberbank CIB has organised two lines of credit for DSK No. 7 worth over RUB 3.9 bln for 10 years. Financing is provided by Sberbank of Russia’s Moskovsky Bank, and will be used to carry out extensive reconstruction and reequipping of the Integrated House-Building Factory (DSK) by the end of 2016.

When reconstruction is finished DSK No. 7 will be able to manufacture next generation products, in particular the new RBTA-DSK-7 series of residential buildings developed by INTECO Group. This new series will be part of INTECO’s new projects in Moscow and the Moscow Region, and will also serve as a stand-alone market product to be used in turnkey or fee-development contracts.

Natalya Shemanovskaya, Head of the Construction and Development Division, Managing Director at Sberbank CIB, commented: “The DSK No. 7 reconstruction project is an extension of our strategic partnership with INTECO Group and goes beyond regular real estate project financing by supporting the creation of a modern and innovative production facility. The INTECO Group’s experience and competency enables our partner to take residential construction to a whole new level and make accommodation more comfortable and accessible for end buyers. This is a pilot deal for Sberbank of Russia’s Moskovsky Bank and also for the project finance market in general. It is a testament to Sberbank CIB’s leading position in the residential real estate finance sector.”

Victor Shlepov, Financial Director of INTECO Group, commented: “I am delighted that through the joint efforts of INTECO, Patriot, PATRIOT-Engineering and DSK No. 7 we were able to sort out financing for the reconstruction of DSK No. 7. This was the Group’s most complex loan deal in the past three years as it required the involvement of many specialists and the development of a range of non-standard solutions from both the company and the bank. It is especially pleasing that the deal was executed despite the current macro situation and the overall financial market volatility. This was mainly possible thanks to the team’s well-coordinated work and the support provided by the Groups’ management and shareholders. Sberbank CIB’s participation in the project is another sign of quality and shows that the Group has chosen the right strategy – one that is aimed at creating a modern production centre and a competitive product.”

Stanislav Shmelev, General Director of PATRIOT-Engineering CJSC, commented:  “Reconstruction will be performed taking into account cutting-edge Russian and international experience. When the enterprise is completed it will possess modern, versatile technologies and computerised equipment, which will allow us to produce a very broad range of components for the construction of residential buildings, schools, kindergartens, car parks, etc. In terms of specifications, the buildings constructed using the industrial method will be comparable to monolithic buildings, although construction times and costs will be much lower. In addition, the new equipment will make it possible to erect buildings according to customised plans, for example, with different numbers of floors and original facades. This is precisely the sort of housing that Moscow currently needs: accessible, but meeting the strict requirements for consumer appeal and level of comfort. These sorts of housing complexes will define the future appearance of many Moscow neighbourhoods.”