Postsparkasse building in Vienna put up for sale

Vienna’s listed Otto Wagner Postsparkasse building has been put up for sale, ORF reports. EHL Investment Consulting was commissioned to market the property by the insolvency administrator of its owner, an insolvent company belonging to the Signa group.

The former Postsparkasse headquarters in central Vienna now houses institutions from the arts, culture, research and science sectors. The historic building has also recently hosted guided tours.

According to EHL, the property is leased to the state-owned Bundesimmobiliengesellschaft under a leasehold agreement until the end of 2118. The lease payment is fully indexed to the consumer price index, while the property owner has no maintenance or repair obligations during the term. Once the leasehold expires, the building will pass to the landowner without compensation.

Austria’s Court of Audit sharply criticised the leasehold agreement between the Bundesimmobiliengesellschaft and Signa, the now-insolvent developer, following an audit in the spring. The criticism included a lack of competition, costly adaptations and compliance shortcomings.

Markus Mendel, managing director of EHL Investment Consulting, said he expected strong interest from national and international private and institutional investors in the building and its inflation-linked cash flow.