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Wells Fargo backs WELPUT with £140m refinancing – Exclusive

The US-headquartered bank has provided a seven-year facility split between a £50m term loan and a £90m revolving credit facility.

WELPUT, the specialist London real estate fund managed by Schroder Real Estate and advised by Grafton Advisors, has completed a refinancing with Wells Fargo totalling £140 million (€158.7 million).

The seven-year facility is split between a £50 million term loan and a £90 million revolving credit facility and refinances a £65 million facility from MetLife.

The refinancing reduces WELPUT’s overall cost of debt and facilitates the firm’s investment and development initiatives.

“The new facility provides additional firepower to invest in the portfolio and take advantage of market opportunities as they arise,” said Jourdan Rajwan, investment manager at Schroder Real Estate.

“Given the nature of WELPUT’s active portfolio, this puts us in a great position to continue to progress our refurbishment and development pipeline, particularly with Regents Wharf in Kings Cross,” added Ker Gilchrist, property director at Grafton Advisors.

The new loan adds to the existing £235 million loan agreed with Wells Fargo in 2015, which matures in 2022. The combined facilities provide WELPUT with a total debt capacity of £375 million, split between a £150 million term loan and £225 million of revolving credit facility.