Three UK and Swedish deals win £174m funding from Deutsche Pfandbriefbank

Deutsche Pfandbriefbank has lent £174m for three clients’ UK and Swedish acquisitions. In the UK, it lent £94.25m to refinance the European Property Investors Special Opportunities fund’s acquisition of the Sapphire retail portfolio, comprising malls in Burnley, Cardiff and Harlow. They were bought for £145m cash in March by the fund’s managers, AEW Europe and Tristan Capital, in partnership with Addington Capital.

Lloyds Bank prompted the sale after its joint venture with the Reuben Brothers’ Aldersgate defaulted; the portfolio had once been valued at £300m. Addington was set up last year by Martin Roberts, previously at CIT, who said “the support of a cash underwritten bid” helped clinch the deal. Deutsche Pfandbriefbank also lent £39.12m for Almacantar’s purchase of the Marble Arch Tower from Orchard Street Investment Management.

In Sweden, the bank lent long-standing client Ness Risan & Partners SEK422m (£40.5m), for six years, at a loan-to-value ratio of about 70%, to buy Nordic Distribution Centre Jönköping, owner of a 95,400m2 southern Swedish distribution centre. In a separate deal with Skandinaviska Enskilda Banken, it has underwritten half of a SEK1.65bn (£158m) refinancing for NIAM News, owned by  investor NIAM Nordic Invest-ment Fund III. The loan is backed by two office portfolios.