CarVal Investors has funded its purchase of two French retail parks with a €28 million loan provided by Deutsche Pfandbriefbank (pbb).
The loan will finance CarVal’s recent acquisition of the retail parks located in Montgeron and Corbeil-Essonne in the Paris region. The two properties comprise a total 48,000 square feet of floorspace between them. They are let to 25 tenants.
CarVal bought the retail parks from Pillar Retail Europark Fund (PREF), which is majority-owned by British Land. The UK REIT owns a 65 percent stake in the fund, according to its 2015 accounts. PREF was created in 2004 in order to invest in European out-of-town retail parks and has holdings across France, Italy, Spain and Portugal.
The financing by pbb closed in February.
The German bank recently reported that it wrote €10.4 billion of new business in 2015, a record year for new real estate lending. A similar volume was predicted for 2016. Pbb increased its real estate finance business by 16 percent year on year with the number of transactions rising from 161 to 180.
France accounted for 10 percent of the bank’s business last year. German remained its largest market, accounting for 47 percent, followed by the UK at 18 percent.