Metall Zug Secures CHF 220 Million Financing for Tech Cluster Zug Expansion

Metall Zug Group has concluded a syndicated loan agreement for CHF 220 million with an increase option of CHF 50 million to finance the further development of Tech Cluster Zug over the next four years. The financing arrangement, led by Zürcher Kantonalbank and secured by mortgage collateral with a maximum loan-to-value ratio of 45%, addresses the group's increasing financing requirements as the TCZ development progresses. This substantial financial backing ensures the continuation of multiple real estate projects that are transforming the industrial landscape in Zug.

The financing structure includes a four-year term with a one-year extension option, providing stability for the ongoing development initiatives. This financial commitment comes at a crucial time as several key projects within the Tech Cluster Zug are advancing according to schedule. The strategic importance of this financing extends beyond immediate construction needs, positioning the cluster for long-term growth and innovation in Switzerland's competitive technology landscape.

Current project progress demonstrates the tangible outcomes of this financial backing. The SHL project is scheduled to complete its building shell by the end of 2025, with handover of the combined production and office building planned for mid-2026. This project showcases the viability of industrial production in urban contexts, directly adjacent to V-ZUG facilities. The long-term lease agreement associated with this development ensures stable cash flows, contributing to the financial sustainability of the overall cluster development.

Another significant advancement is the CreaTower I project, which has received its building permit and commenced construction. The innovative design incorporates RFS ceilings that reduce mass by approximately 46% compared to conventional systems, resulting in substantial CO2 emission reductions. Completion of the building shell is targeted for 2028, with the subsequent sale to VZ Depository Bank expected to generate appreciation gains due to the land being recorded at historical acquisition costs. More information about the company's developments can be found at https://metallzug.ch/en/media.

Project Pi represents a core element in the sustainable development vision for Tech Cluster Zug, focusing on creating affordable housing within walking distance of the technology cluster. The project emphasizes innovative high-rise living concepts within vertical communities and architecture specifically tailored to the Zug location. Despite an administrative complaint filed in March 2025, the commitment to Project Pi and the GIBZ development plan remains firm, demonstrating the long-term strategic importance of integrated community development alongside technological advancement.

The implications of this financing and project development extend beyond immediate construction timelines. The Tech Cluster Zug initiative represents a model for integrating industrial production, technological innovation, and sustainable urban development. The combination of production facilities, office spaces, and residential areas within close proximity creates opportunities for enhanced collaboration and reduced environmental impact through minimized transportation needs. This approach aligns with broader trends in urban planning that prioritize mixed-use developments and sustainable building practices.

For the regional economy, the continued development of Tech Cluster Zug strengthens Zug's position as a technology hub in Switzerland. The cluster's growth supports job creation, attracts technology companies, and contributes to the local tax base. The emphasis on sustainable construction methods, particularly the CO2 reduction achievements in the CreaTower I project, sets new standards for environmental responsibility in industrial and commercial development. The financial stability provided by this syndicated loan ensures that these ambitious projects can proceed without interruption, maintaining momentum in Zug's technological and urban transformation.