The imbalance of the real estate developer Gerch also has consequences for a major project on the former Quelle site in Nuremberg. The Düsseldorf-based Gerch Group announced on Thursday that construction work has stopped for the time being. An application for insolvency for the project company was filed with the Düsseldorf District Court. Apartments, offices and a city authority center are to be built in the former Quelle shipping center.
The Gerch group, which specializes in office properties and urban district development, filed for insolvency under self-administration in August. So far, only the four umbrella companies and not the project companies have been affected. Gerch said that negotiations with the project’s financing partner in Nuremberg had not resulted in a solution.
For reasons of investor protection, he stopped paying the purchase price installments. This is the first time that a Gerch project company has become insolvent. “After it became clear that further payment by the buyer was not possible, we immediately stopped the construction work in order to avoid further damage to the construction companies carrying out the work,” said the managing director of the project company, Mathias Düsterdick. It is currently impossible to estimate when construction work could continue.