Bigbank will finance the development of SBA’s Urban HUB in Vilnius
Estonian capital bank Bigbank has provided a long-term loan of over EUR 21 million to SBA Urban, which is developing Urban HUB, an office, retail and warehouse stock-office campus near Vilnius. Following the start of construction works in July, the 22,000 sqm of commercial space on Ukmergės Street will open in the middle of next year.
Opening next summer
“The trust of our financial partners allowed us to quickly secure long-term financing. In this way, we will maintain the maximum pace of construction of Urban HUB so that the business campus, with an area of almost three football fields next to the strategic transport artery, will open its doors in the summer of next year. As construction work progresses, almost a third of the available space is already booked in campus. In total, it is planned that over 30 different businesses will be located in the Vilnius stock-office campus,” says Giedrius Muliuolis, Head of Urban HUB at SBA Urban, the company implementing these projects.
“We started our cooperation with SBA Group back in 2022 when we refinanced part of the investment in the acquisition of the land plot where the project is being developed. A year ago, we already recognised the uniqueness of this project and the attractiveness of its location for prospective tenants. SBA Group’s experience in real estate development and its responsible approach to partnership also gave confidence in the project’s success. We are pleased to continue our cooperation in the further realisation of this project,” says Deividas Žukas, Head of Group Corporate banking area ar Bigbank.
The project has attracted the interest of a wide range of businesses – from small manufacturers, specialised goods and service companies to traditional grocery stores, cafes and leisure spaces. According to G. Muliuolis, the decision for businesses to move to Urban HUB is driven by the flexibility to adapt the premises to their specific needs, thus improving cost efficiency. All companies that have booked spaces in the projects at the beginning of the construction works have such opportunities.
Investments – over EUR 30 million
Construction work on the SBA Group’s project in Ožiarūčių g., Vilnius district, has already started this July. It is estimated that the investment in the project will amount to over EUR 30 million.
Investments will be directed towards surrounding infrastructure as well. The project will be accompanied by a newly built Ožiarūčių Street with pedestrian and cycling paths. Water supply networks will also be extended, and innovative solutions will be used to manage stormwater runoff from the building and hard surfaces into local underground storage containers. This will help to ensure the safe and comfortable operation of the building and, in the event of unusually heavy rainfall, to manage the volume of water to prevent flooding. This is a critical issue in the region, and the best experts and the most advanced solutions available today have been used to address it.
The building will also achieve an A++ energy performance class and will aim for BREEAM In-use Excellent certification. The project will provide over 360 parking spaces, some of which will accommodate electric cars.
At the same time, the first phase of the 70,000 sqm Urban HUB campus being developed in Biruliškės, Kaunas district, is progressing rapidly. The first tenants will move in by mid-2024. A 1,700 sqm IKI store will also open at the end of 2024. “The Urban HUB projects in Vilnius and Kaunas have been developed together with Danish architectural studio PLH Arkitekter. The construction works for both projects are being carried out by YIT Lietuva.