The landmark deal in the UK market saw Hong Kong investor CC Land source a three-bank financing of its £1.15 billion purchase of The Leadenhall Building in the City of London, better known as the Cheesegrater. The circa 55 percent loan-to-value financing was provided by three banks with strong links to the Hong Kong Market – Bank of China, HSBC and ING. The loan was understood to have been priced in the region of 150 basis points.
HSBC was one of three banks to close a loan against another to-be London landmark; the under-construction new stadium for Premier League football club Tottenham Hotspur. Alongside Goldman Sachs and Bank of America Merrill Lynch, it provided £400 million of debt to take the stadium through to completion. The margin on the loan ranges from 3 percent to 2.25 percent through its term.
Slovakian developer HB Reavis sourced two separate loans to fund its London development drive. In the first deal, German banks pbb Deutsche Pfandbriefbank and Deutsche Hypo provided £127 million for the development of 33 Central, an office scheme in the City of London which has been pre-sold to US bank Wells Fargo for its occupation. In the second deal, Lloyds provided £47 million for the refurbishment of the Cooper & Southwark building close to the South Bank of the River Thames.
In continental Europe, Goldman Sachs provided a €337 million refinancing of the Dutch office platform Merin, which is owned by TPG and Patron Capital. The 65 percent, five-year loan refinances €240 million of debt provided by ING and ABN Amro in 2015 to refinance the portfolio. Merin was formerly known as Uni-Invest and the portfolio was security in the first European CMBS to default on maturity.
Germany’s pbb Deutsche Pfandbriefbank had a run of deals in the Nordic The bank reported activity in Sweden and Finland, including a SEK 985 million (€101 million) loan to Bråviken Logistik, a SEK 410 million (€43 million) loan to recently launched investor Logistea, €36.5 million to Alma Property Partners, and €29 million to Schroder Nordic Real Estate Fund.
Click here for recent lending deals for June 2017