Signa Development creditors claim 2.59 billion euros in insolvency

The insolvency proceedings for René Benko’s once central real estate development company, Signa Development, are progressing slowly, ORF reported. An interim report by the insolvency administrator lists creditor claims totalling 2.59 billion euros, of which nearly 1.7 billion euros have been recognised.

The insolvency administrator, Andrea Fruhstorfer, has so far recovered around 13 million euros through challenges seeking to reverse payments made shortly before the insolvency began. A further 24 million euros was claimed in nine lawsuits at the Vienna Commercial Court. Five of those cases have since ended in settlements, although the amounts involved were relatively small.

The outcome of proceedings against the Republic of Austria and the tax office for large businesses remains unresolved. Fruhstorfer lost the case in the second instance before the Vienna Higher Regional Court at the end of January 2026. The Supreme Court has yet to rule. The case concerns tax payments of around 12.4 million euros made before the insolvency began.

Fruhstorfer is seeking the repayment of more than 3.9 million euros and 8 million euros in damages from Signa’s advisory firm TPA. A hearing and the establishment of a schedule for the trial are expected in the autumn. The parties are also holding out-of-court settlement talks. Another case against the RAG Foundation concerns more than 3.2 million euros.

Talks with former executives continue

Out-of-court settlement talks are also continuing with former board members, supervisory board members and advisers over potential liability claims. The allegation is that those involved made incorrect decisions or ignored the insolvency, which had already become foreseeable. The parties have agreed not to disclose the content or status of the negotiations.

The next round of talks is expected in the autumn. The out-of-court negotiations are intended to avoid years of court proceedings and substantial legal costs. If no solution is reached by October 2026 at the latest, Fruhstorfer plans to pursue the claims in court.

Property sales remain pending

The insolvency administrator also expects to raise money for creditors by selling real estate projects. Signa Development holds investments in Austria, Germany, Italy and Luxembourg. Almost a dozen properties have been sold since the insolvency began.

In spring 2026, the Andaz Vienna at Belvedere hotel was sold for 92 million euros, with 25 million euros reportedly flowing back to Signa Development. Vienna has submitted a non-binding offer of 9.7 million euros for a property at Muthgasse 1a. The offer still requires approval from the city council.

In Germany, the sale process has begun for a plot in Wolfsburg with around 10,200 square metres of lettable space. A previously planned sale of another Wolfsburg plot to Volkswagen, which contains a bistro for Volkswagen employees, is currently considered unlikely because of poor market conditions in the automotive industry.

For two plots in Bolzano in northern Italy, Fruhstorfer is still waiting for new zoning concepts from the city government. Sales talks are already under way for a property on Weingartenweg, in a highly sought-after residential district of Bolzano.

Exchange with Signa task force

The share available to creditors will depend on the outcome of the challenges and liability claims, as well as the proceeds from selling the real estate portfolio after transaction and insolvency administration costs, the interim report said.

Fruhstorfer is also in a “very constructive” exchange with the prosecutors and federal criminal police officers responsible for the SOKO Signa task force. The interim report says further submissions detailing suspected offences are expected.

The Economic and Corruption Prosecutor’s Office is investigating more than a dozen matters connected with the property group’s collapse.