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Senior debt
ICG-Longbow, the real estate debt-focused arm of Intermediate Capital Group, has held a final close of its third senior debt fund on £370 million (€409 million).
The sharp fall in five-year swaps has depressed forecast returns for UK senior debt, from 3.7 to 3.3 percent.
Amid continuing low interest rates, ease of availability and low return requirements, senior loans in Germany are tipped to “increase in attractiveness in the future” according to the EY Real Estate Capital Radar Germany 2016 report.
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Deutsche Bank is financing the €160m acquisition of eight Spanish retail assets for GreenOak Real Estate and Grupo Lar in a further sign of lender interest picking up in Spain. The ticket size is believed to be around €100m and the German bank is understood to have beaten several other investment banks to win the […]
Nashville-based Giarratana Development has secured $75.9m in loans for the construction of the SoBro luxury rental apartment tower in downtown Nashville, Tennessee. Chicago-based BMO Harris Bank provided a $58m senior construction loan, while New York-based NorthStar Realty Finance – through its lending entity QARTH Holdings NT-II – provided a $17.9m mezzanine loan on the $90.8m project. […]
Crédit Agricole CIB has syndicated a significant portion of the £77m of debt it issued for Perella Weinberg’s purchase of One Poultry in the City, to AXA. The French insurer is thought to have taken at least a 50% participation in the three-year senior loan, equating to a position of about £40m. Perella paid £110m for […]
JPMorgan Chase Bank has provided a five-year, $190m loan on CV Properties’ new One Channel Center office building in South Boston.
The bank placed an additional $50m mezzanine loan through global investment management company BlackRock.
One Channel Center (Credit: David Ryan, The Boston Globe).
One Channel Center (Credit: David Ryan, The Boston Globe).
The debt replaces $170m of construction financing that the lenders provided two years ago and allows for a recapture of equity.
The 500,000-square-foot, 12-storey office building and an adjoining 970-car garage is fully-leased to financial services giant State Street, which opened the new building last month. Completed last year, it can house more than 3,500 employees.
One Channel Center is part of the broader Channel Center project, a 2m-square-foot mixed-use development with office, residential and retail, and plans for at least two open space parks.
CV Properties bought an undeveloped portion of Channel Center from Beacon Capital Partners LLC in 2007 for a reported $21.5 million, overseeing the development and redevelopment of about 1m square feet with the backing of capital partner AREA Property Partners, which was later acquired by Ares Management.
CV Properties and JP Morgan Chase Bank declined to comment.
Credit Suisse and BAWAG are said to be lined up to provide circa €245m of financing for Lone Star’s purchase of a Dutch office portfolio from CBRE Global Investors. Lone Star acquired the good-quality assets from CBRE Global Investors’ €1.56bn CBRE Dutch Office Fund for a purchase price of around €350m. Leverage equates to about […]