Lloyds Bank Commercial Banking has issued a £43.7m refinancing for regional property company Dransfield Properties’ Marshalls Yard and Sanderson Arcade schemes.
The deal, the 34th this year for Lloyds’ mid-markets team, was divided into a three-year, £24m loan for the Marshalls Yard retail, office and leisure complex in Gainsborough, Lincolnshire; and a four-year, £19.7m loan for the Sanderson Arcade retail and office scheme in Morpeth near Newcastle. Lloyds provided the initial development finance for the assets, completed in 2007 and 2009 respectively.
The debt will allow regeneration specialist Dransfield to “bring forward new development opportunities”, said managing director Mark Dransfield. He added that a strong balance sheet and the recent cut in forward swap rates had allowed the group to secure attractively priced longer-term debt from Lloyds, one of its main lenders.
Lloyds’ mid markets relationship director Tom Cross said the assets were prime investment sites with a quality tenant mix. “We have significant appetite to back strong assets like Dransfield’s in the north and to help support new development, bringing growth and job creation to its towns and cities,” he said.