Deutsche Hypo and ING finance Patrizia’s Dutch portfolio

Deutsche Hypo and ING Commercial Banking have provided a €160 million loan to a fund managed by Patrizia Immobilien to finance a property portfolio in the Netherlands.

The facility reflects a relatively conservative loan-to-value ratio of less than 50 percent, based on the €340 million which Patrizia paid for the portfolio last October. The banks have provided the loan on a 50/50 basis. Deutsche Hypo acted as lead arranger, agent and book-runner. ING acted as mandated lead arranger.

The portfolio contains 145 properties including 107 retail, 35 residential and three office properties. The assets are mainly based in the Randstad area of the Netherlands in locations including the Kalverstraat in Amsterdam and the Spuistraat in The Hague.

The main tenants include international retail chains such as H&M, Zara, C&A, Adidas, Vero Moda, Foot Locker and Apple, as well as domestic chain stores and some regional retailers.

Last October, Patrizia announced that it had bought the portfolio through its Patrizia Netherlands subsidiary. The off-market acquisition was carried out on behalf of a recently-established property fund called Patrizia Dutch High Street Retail Fund 1.

“These are the kinds of trade properties that will remain strong whatever happens with respect to long-term online shopping trends,” Peter Helfrich, managing director of Patrizia Netherlands, said at the time. “The retail trade environment is going through a period of change, reflected by rising demand for top shopping locations, so this makes these properties excellent in terms of value retention.”