pbb makes €76m Sharia compliant loan to SEDCO

pbb Deutsche Pfandbriefbank has provided a €76m Sharia compliant facility to Saudi-based Islamic investment firm SEDCO Capital. The five-year refinancing loan is for a mixed-use portfolio of eight assets in Germany. Four of the largest assets by value are located in Berlin and make up 75% of the portfolio’s value.

pbb Deutsche Pfandbriefbank has provided a €76m Sharia compliant facility to Saudi-based Islamic investment firm, SEDCO Capital.

SEDCO Capital logoThe five-year refinancing loan is for a mixed-use portfolio of eight assets in Germany. Four of the largest assets by value are located in Berlin and make up 75% of the portfolio’s value.

pbb is the sole lender and LaSalle Investment Management advised SEDCO Capital.

Charles Balch, head of real estate finance international, UK & CEE at pbb, said: “pbb Deutsche Pfandbriefbank is pleased to be able to support our clients SEDCO Capital and LaSalle in this Sharia compliant financing, a product where we see increasing demand from our international clients.”

SEDCO Capital is a fully owned subsidiary of SEDCO Holding, the Saudi Economic and Development Company. It invests in line with Sharia guidelines and advises on $4bn of assets in the real estate, equity, agriculture and commodity sectors.

“Following a thorough due diligence, we felt pbb was the bank that fully understood our portfolio requirements,” said Yaser Binmahfouz, vice president of real estate at SEDCO Capital.

“We are very happy to be associated with one of the top real estate investment managers in the world and one of the most reputable specialist banks for real estate finance in Germany.”

Roberto Carrera, European head of finance at LaSalle Investment Management, said: “The execution of this refinancing facility for SEDCO Capital, once again, demonstrates LaSalle’s capability to source complex, made-to-measure financing solutions for our clients.”

“We are continuing to build relationships with lending partners such as pbb, who have once more proven their ability to reliably deliver.”

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