Pbb Deutsche Pfandbriefbank has provided a £35 million loan to Benson Elliot Capital Management to finance the acquisition of Slough Retail Park in the UK.
The 151,000 square foot Slough Retail Park was bought by Benson Elliot last November and is fully-let to tenants including DFS, Carpetright, Smyths Toys and The Range. The financing deal closed last December, pbb said.
Benson Elliot bought the retail park from Standard Life Investments for £53 million, according to a statement by Cube Real Estate, which was appointed as asset manager. Standard Life previously purchased the scheme in 2014 for £63 million.
The asset is wholly-owned by Benson Elliot’s recently closed pan-European private equity fund, Benson Elliot Real Estate Partners IV LP, which has around €700 million of capital.
It has a weighted average unexpired lease term of 7.8 years to break and rents ranging from £17.48 to £22.50 per square foot.
“This is a good example of a sophisticated investor seeking to add value through long-term asset management and we are confident that their experienced management team will execute their business plan,” said Charles Balch, head of real estate finance – international clients, UK & CEE at pbb Deutsche Pfandbriefbank.
“This offers Benson Elliott funding diversification as well as the potential for future financing with pbb,” added James Jakeman, partner at Benson Elliot.