Austria Credit Score Online

The municipality of Wiener Neustadt has sold 70 residential buildings for 120 mio EUR to a subsidiary. This is the biggest real estate swap of a municipality in Austria.

Outsourcing of public corporate bodies to receive tax advantages: real estates were sold to its own subsidiary. Thus a credit funded buying price flows. The subsidiary can act as an operator and subract the input tax.

The Austrian law makes sure that the disembodiment of public corporate bodies is free of charges. The municipality of Wiener Neustadt wants to improve its financial situation by such deal.

A new subsidiary was founded only for that. The buying price of 120 mio EUR flows directly to the tills of the municipality. 70 residential buildings with 2500 flats were sold. The subsidiary has taken the credit from the Hypo Bank Lower Austria. The debt repayment was fixed for the next 35 years, and will be taken from the gains of the collected rents.