ING arranges €100m refinancing of Rome designer outlet mall

ING Real Estate Finance, Credit Agricole CIB (CACIB) and UBI Banca have provided €100 million to refinance a designer outlet mall in Rome which they had originally financed in 2010.

ING arranged the loan, which was provided to a vehicle owned by TH Real Estate’s European Outlet Mall Fund. The loan is secured by the Castel Romano outlet mall, which is managed by McArthurGlen.

Real Estate Capital understands that the five-year financing reflected a loan-to-value ratio of around 40 percent and was priced at less than 200 basis points over three-month Euribor. ING took €43 million of the loan, while CACIB provided more than €35 million and UBI less than €20 million.

The trio had provided a six-year loan of €81 million to TH Real Estate, then known as Henderson Global Investors, in 2010 at a similar LTV ratio. The outlet mall was expanded with the opening of a third phase in 2013, increasing its value. The original loan matured in May.

The Castel Romano Designer Outlet is a 31,265 square metre retail outlet located in Castel Romano, south west Rome. The property is fully let to more than 160 luxury retailers. It was acquired in 2005.

The financing is the second to be arranged by ING for TH Real Estate in the Italian market this month. The bank also provided a €46.7 million loan to refinance the Meraville Retail Park in Bologna for the firm’s European Cities Fund. ING was the sole lender in the Meraville deal.