Three Danish labour-market pension funds have teamed up with contractor CASA and property manager DEAS to build a town court building in Svendborg on the Danish island of Funen.
PensionDanmark, Sampension, PKA have formed a public-private partnership (PPP) with the other two parties to carry out the project, which involves the building’s construction and its management for the first 20 years of its existence.
The three pension funds will finance the DKK175m (€23.5m) project sum equally – which includes construction and maintenance of the building.
The new 4,000sqm building will bring court activity in the town under one roof, housing more than 40 of the town’s court staff, PensionDanmark said.
Building will start at the beginning of next year and be completed in June 2016.
Torben Möger Pedersen, chief executive at PensionDanmark, said the decision to go ahead with the PPP project showed that the financing model was very much taking root in the domestic economy.
PensionDanmark, Sampension and PKA have spearheaded work to promote PPPs in Denmark in recent years.
At the end of 2012, the three pension funds announced they would provide a ‘one-stop shop’ for public authorities with construction needs, giving them a single point to access architectural, financing and other services.
PensionDanmark said this was the second Danish PPP project it had invested in this year, after the psychiatric hospital project in Vejle, while PKA said it was its third – including the Vejle hospital, as well as one in Skeiby.
Advisers for the Svendborg contract include KPF Architekter and COWI as consulting engineers.
The agreement requires final approval from the parliamentary finance committee.