British Land sources £735m of unsecured debt

British Land, the UK real estate investment trust, has signed a £735 million (€833 million) unsecured revolving credit facility at an initial margin of 90 basis points with a syndicate of 12 banks.

The RCF is an amendment and extension of the £785 million RCF signed in April 2014 at an initial margin of 115bps, and includes British Land’s standard unsecured financial covenants.

The facility has a maturity of five years, which may be extended by a further two years at British Land’s request and if each bank approves participation.

The lenders in the RCF deal include Lloyds Bank, acting as facility agent, Sumitomo Mitsui Banking Corporation; Wells Fargo Bank; MUFG Bank; Santander UK; Barclays Bank; Bank of China Limited; Royal Bank of Canada; Royal Bank of Scotland; BNP Paribas; Credit Agricole Corporate and Investment Bank; and Credit Industriel et Commercial.

“This flexible facility is the latest example of our financing and debt management activity,” said Sarah Barzycki, group treasurer at British Land.

“It provides improved liquidity at reduced cost, extending the term of our diverse debt portfolio. We are very pleased with the level of support received from our relationship banks on this transaction,” she added.