City planning - Tschentscher rejects Kühne's Elbtower proposal
Hamburg's Mayor Peter Tschentscher (SPD) has ruled out financial involvement of the city in the further construction of the Elbtower. He opposed such demands from billionaire Klaus-Michael Kühne.
"Mr. Benko, Signa-Group and their investors have caused significant damage to the community in Austria and Germany. This does not create a moral position for us to ask for anything from the affected cities or uninvolved third parties," Tschentscher told the German Press Agency.
Clear Rejection from Kühne
Kühne had demanded in "Spiegel" that Hamburg clearly state from the First Mayor that the city is ready to work with the private sector to complete the Elbtower project. The city should commit to using half of the Elbtower's rental spaces for city authorities and rent them immediately after completion of the building, "at rental conditions that secure the profitability of the object."
The Mayor emphasized that the city of Hamburg stands by its agreements and commitments. The city sold the land for 122 million Euros and granted permission to build. It was always clear that the project risk lay with the private investor. "The Senate definitely does not intend to take over the leadership or direction for the further construction or to participate in the completion with its own capital."
Tschentscher added that the insolvency administrator is currently working on a private-sector solution. "I welcome the engagement of private bidders and assume that a solution for the completion of the Elbtower will be found in the second half of the year." The plans are designed so that the tower is completed, Tschentscher emphasized. Structural changes are possible in coordination with the city and the architect, but a fundamentally different development of the plot would require a completely new procedure.
Elbtower to be Germany's third tallest building
According to the current plans, the Elbtower in the Hamburg Hafencity, with 64 floors and a height of 245 meters, is to be the third tallest building in Germany. The skyscraper was supposed to be completed in 2025 and cost around 950 million Euros. At the end of October 2023, the contracted construction company stopped work at a height of 100 meters due to unpaid invoices from the Signa Group of Austrian real estate entrepreneur René Benko. The Elbtower Immobilien GmbH & Co. KG filed for insolvency in January. It is a subsidiary of the also insolvent Signa Prime Selection AG.
- Despite Michael Kuhne's demands, Peter Tschentscher, the Mayor of Hamburg, has declared that the city will not contribute financially to the further construction of the Elbtower.
- Tschentscher's stance stems from the fact that Rene Benko and the Signa-Group, along with their investors, have inflicted considerable harm to communities in Austria and Germany.
- In an interview with the German Press Agency, Tschentscher stated that Hamburg has honored its agreements and commitments regarding the Elbtower, including selling the land for 122 million Euros and granting construction permission.
- Kuhne had requested that Hamburg publicly declare its readiness to collaborate with the private sector for the completion of the Elbtower project, offering half of the tower's rental spaces to city authorities at profitable rates.
- The Mayor reiterated that Hamburg will not take on the leadership or direction of the Elbtower's further construction, nor will it contribute its own capital to the venture.
- Tschentscher expressed optimism that a private-sector solution for the completion of the Elbtower would emerge by the second half of the year, as the insolvency administrator is actively seeking such solutions.
- Ambitious plans are in place for the Elbtower to become Germany's third tallest building with 64 floors and a height of 245 meters, despite the construction company's halt of work at 100 meters due to the Signa Group's unpaid invoices.
