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Club finances Coeur Défense with €900m loan

BNP Paribas, Crédit Agricole, ING and Natixis have provided a seven-year loan of 50% LTV to fund the Paris office complex acquisition by an Amundi-led consortium.

A club of four banks has financed France’s largest single commercial property transaction this year with a €900 million loan.

The debt facility, provided by BNP Paribas, Crédit Agricole, ING and Natixis, will be used to fund the acquisition of the Coeur Défense office complex in Paris’s La Défense business district, by an Amundi-led consortium of investors.

The consortium, composed of Amundi Real Estate, Crédit Agricole Assurances and Primonial, bought the office complex in October from an affiliate of US private equity firm Lone Star, for €1.8 million. The purchase price would imply a loan-to-value ratio of around 50 percent.

The seven-year, fixed rate loan was syndicated to a pool of French and German banks. Crédit Agricole acted as an agent in the deal.

“We saw many lenders approaching us as the asset is mature, diversified in terms of tenants and fully let,” Eric Wohleber, Amundi’s head of real and alternative assets sales, told Real Estate Capital.

The property is leased to large French and international companies such as HSBC, Orange, Allianz and RTE.

Designed by the French architect Jean-Paul Viguier, Coeur Défense was completed in 2001 and has more than 159,000 square metres of office space spread over two towers and three smaller buildings linked by a large atrium.

Each of the towers has 40 floors of office space, with a surface area of 64,000 square metres, while the other three buildings comprise nine floors of office space and retail outlets.

Recently, Amundi secured a €300 million loan from Allianz Real Estate and ABN Amro to fund the acquisition of The Atrium office complex in Amsterdam. The seven-year, fixed-rate senior debt facility, with a LTV ratio of around 60 percent, is thought to be the largest single-asset financing in the Dutch office market this year.