Yerevan, Armenia, November 6, 2014—IFC,
a member of the World Bank Group, is supporting the development of an innovative,
energy-efficient office building in Armenia which will spur job creation
and positively impact the environment.
IFC is providing a $9 million loan for
its own account and mobilizing another $9 million from DEG (Deutsche Investitions-
und Entwicklungsgesellschaft mbH) to the Property Development Company to
finance the development in the center of Yerevan. The project is expected
to create links with local suppliers, while also creating jobs. The office
complex will be constructed on V. Sargsyan Street, with the main façade
of the existing historical building remaining intact in the new construction.
Artashes Kazakhetyan, CEO of Property
Development Company, said: “We have preserved every single stone from
the old building by applying international standards, and also developed
an architectural and engineering design that showcases the historical importance
of this area. In addition, this will be the first green commercial building
certified by BREEAM, a global leader in the design and assessment of sustainable
The total value of the project is estimated to be $37 million, with the
remaining funds provided by the Property Development Company from its own
account. The development of an A-Class office building in the capital is
also expected to boost commercial real estate standards, while the use
of advanced energy efficient technologies will help future tenants save
on energy bills.
Arman Barkhudaryan, IFC Senior Investment Officer said: “Modern office
buildings help spur economic activity and improve the efficiency of local
suppliers, many of which are micro, small, and medium enterprises. Strengthening
Armenia’s business infrastructure and promoting green technologies will
also provide an important model for future energy-efficient building projects,
while helping contribute to long-term growth.”
Armenia became a member and shareholder of IFC in 1995. Since then, IFC
has invested more than $320 million in 52 projects across a range of sectors,
including financial markets, manufacturing, and mining, and mobilized nearly
$23 million from other lenders. IFC Advisory Services provides advice through
projects focusing on the financial sector, sustainable energy, regulatory
simplification, and food safety.
IFC, a member of the World Bank Group, is the largest global development
institution focused exclusively on the private sector. Working with private
enterprises in about 100 countries, we use our capital, expertise, and
influence to help eliminate extreme poverty and boost shared prosperity.
In FY14, we provided more than $22 billion in financing to improve lives
in developing countries and tackle the most urgent challenges of development.
For more information, visit www.ifc.org
For more information about Property Development Company, visit www.prodeco.am
For more information about DEG, visit www.deginvest.de