TIAA Henderson completes refinancing of €1.5bn European Outlet Mall Fund

TIAA Henderson Real Estate has completed the refinancing of its €1.5bn European Outlet Mall Fund, Real Estate Capital can reveal.

Designer Outlet Roermond in the Netherlands is the last asset to be refinanced, with €122m of debt from Deutsche Hypo.

The bank provided a five-year loan for the 18,970m2 first phase, including 80 stores let to the likes of Polo Ralph Lauren, Dolce & Gabbana and Zegna. The centre, one of the oldest in the fund, also serves the German market, its nearest city being Düsseldorf.

The fund’s assets are generally geared at a 50% loan-to-value ratio or lower. Deutsche Hypo has not lent to the fund before and conducted the deal from its London branch.

In the past 12 months the fund has completed €380m of refinancings, with Deutsche Pfandbriefbank and ING central to many of the deals. The centres are asset managed by McArthurGlen.

Colin Throssell, head of treasury at TH Real Estate, said: “This final financing brings a new lender to the fund, which is now well-positioned for asset management initiatives and future rental growth.”

Last month Deutsche Hypo was also part of a trio of banks that refinanced Patrizia’s €577m portfolio of 137 residential apartment blocks located in the central and southern provinces of the Netherlands with a €331m loan. The portfolio was bought in July last year from housing association Vestia.