M&G Investments is lending on an Irish office building, providing about €70m of senior debt to Kennedy Wilson. M&G is financing the 163,000 sq ft building occupied by State Street International at 78 Sir John Rogerson’s Quay in Dublin, which Kennedy Wilson bought at the start of the year.
Kennedy Wilson beat Delancey and KKR in a contract race to buy the outstanding €120m loan, secured against the asset and adjoining land, from RBS subsidiary Ulster Bank. Finance for the US investor’s loan acquitision originally came from Goldman Sachs.
Paul McDonnell, head of property finance at Bank of Ireland – which has lent on Dublin acquisitions including The Alliance building for Kennedy Wilson and the Burlington hotel for Blackstone – said: “From a financing point of view, we have an ever-increasing number of inbound enquiries about asset sales here”.