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It is the perfect symbol of the financial centre: building 8 on Zurich’s Paradeplatz. Since 1876, the fate of the Schweizerische Kreditanstalt and later Credit Suisse was determined from here. By March 19, 2023, CS will cancel its sails, and not just on the logo. UBS took over.
Along with the entire CS, UBS also owns Paradeplatz 8 for three billion francs. So what to do with the iconic building? To sell? Rent? Options examined as the takeover of CS would cost UBS a large amount of money.
But now UBS is denying the sale speculations. “We maintain 8th place in the parade,” says UBS boss Sergio Ermotti (63) in an interview with Blick. “This building is an important part of CS history and will now be part of UBS’s future.”
UBS now surrounds Paradeplatz on three sides with its real estate. The old Bankverein building at Paradeplatz 6 is currently being renovated; The luxury hotel opposite, Mandarin Oriental Savoy, recently opened with great grandeur.
UBS’s vision: A financial campus will be built around Paradeplatz, employing approximately 4,000 people. “We want to concentrate our workforce in the middle of the city,” says Ermotti. “This is also a signal to the city and the Zurich location.” Plan: The parade ground should become more lively. Work is being done on the upper floors, and there is space for shops and restaurants on the lower floors.
UBS headquarters remains on Bahnhofstrasse
Ermotti often looks very closely at the costs of integrating CS into UBS, but is more generous when it comes to the ceremonial space. “This may not be the best solution from a commercial standpoint, but our decision is about more than just cost.”
The timing is unlikely to be chosen by chance. As the anniversary approached, voices began to arise that fundamentally questioned Switzerland’s need for a large bank. Especially for a bank whose balance sheet total is more than twice the economic output of Switzerland and thus poses a significant risk for the country as well.
The financial campus includes properties on Paradeplatz as well as buildings on Bärengasse and Bärenhof. However, as Ermotti emphasized, UBS will remain at its headquarters at Bahnhofstrasse 45. A building that was extensively renovated just a few years ago. Apparently there were discussions about moving the headquarters to Paradeplatz. However, this idea was quickly rejected.
listed building
The bank’s balance sheet includes buildings worth billions of francs, primarily in Switzerland. Large banks abroad are usually tenants. UBS does not want to detail how valuable the buildings around Paradeplatz actually are.
The financial campus in the heart of Zurich is still just a concept. But it is something that needs to be improved quickly. The former Bankverein building will be ready for use from the beginning of 2027. The restoration of the former CS headquarters is likely to be complicated, as the monument protection authority also wants to have a say.
The addition of 4,000 jobs is part of an overhaul of the entire property and location portfolio. UBS had steadily reduced that number to about half of its more than 450 buildings since the financial crisis. Thanks to the CS takeover, there are now more than 400 buildings again. These include Uetlihof, whose lease will not expire until the end of 2037. The bank has already decided to give up other locations, such as the CS Tower in Zurich-Oerlikon or some of its office space in the Sihlcity shopping centre.
Source :Blick
I’m Tim David and I work as an author for 24 Instant News, covering the Market section. With a Bachelor’s Degree in Journalism, my mission is to provide accurate, timely and insightful news coverage that helps our readers stay informed about the latest trends in the market. My writing style is focused on making complex economic topics easy to understand for everyone.
