Helical Bar announced that it has secured a new circa £100 million (approx. €120.7 million) five year debt facility from pbb Deutsche Pfandbriefbank, refinancing £46 million (approx. €55.5 million) of existing debt and boosting cash reserves by £29 million (approx. €35 million). The terms of the facility, repayable in February 2019, allows drawdowns of up to 65% of value and benefit from interest rate swaps contributing to an effective interest rate, including margin, of circa 4.5%.
The new facility has refinanced Helical's recent cash purchases of three London office buildings (Maple House, London EC1; Artillery Lane and New Loom House, both in London E1) together with its shopping center and retail park in Corby Town Centre, originally acquired in 2011. The facility will also be used for working capital purposes to fund refurbishment works at Maple House and an extension to the shopping center in Corby which will provide a new cinema, restaurants, a gym and a new car park, subject to planning.
Tim Murphy, Finance Director at Helical Bar plc, commented: "Helical has a very long standing relationship with the team at pbb Deutsche Pfandbriefbank and is pleased to continue this relationship with agreement of this new five year facility which also provides funding for our planned activities at Corby Town Centre and Maple House, supporting our business plan of enhancing rental income through active asset management."
Source: Helical Bar