Pbb Deutsche Pfandbriefbank has provided a kr275 million (€29.2 million, £24.3 million as at 28 June) loan to a fund managed by Standard Life Investments to finance its acquisition of a Swedish retail park.
The medium-term Swedish krona-denominated loan will finance the purchase of the Ingelsta Retail Park in Norrköping, Sweden. The loan was made to Standard Life Investments European Real Estate Club II and closed earlier this month.
The fund bought the 37,000 square metre retail park from Swedish firm Axfast for €56 million, putting the loan-to-value ratio of the pbb facility at just over 50 percent.
Ingelsta Retail Park was constructed in 2006 and is located within the Ingelsta retail area which is the dominant retail cluster in Norrköping. The retail park consists of two properties collectively known as Ingelsta Handelscentrum (Ingelsta Retail Park) and is anchored by retail chains such as Bauhaus, Willy’s, Jula, and Rusta.
Pbb has previously lent to Standard Life Investments in the Swedish market. Last September, the bank provided a kr275.5 million (at the time €29 million) five-year loan to the European Real Estate Club fund for the purchase of the 33,400 square metre Länna Retail Park, located just south of Stockholm.
“Pbb Deutsche Pfandbriefbank is very pleased to again support Standard Life Investments in a transaction. Ingelsta Retail Park benefits from a prominent location in the area with good visibility. The Nordic countries are strategic markets for pbb. We continue to see strong interest from both international and domestic clients,” said Norbert Müller, head of real estate finance continental Europe west at pbb.