pbb finances prime logistics property in Daventry for Prologis European Properties Fund II (UK)
Tuesday 10 July 2012
pbb Deutsche Pfandbriefbank has provided a £40 million (around €50 mln) senior facility to finance a prime logistics property for Prologis European Properties Fund II. The transaction closed on June 15, 2012. pbb was the arranger, sole lender and hedge provider of this financing transaction.
The property in Daventry is a new, 76,000 m² distribution center let to Tesco Stores Limited on a 25 year, full repairing and insuring lease, and is regarded as one of the prime logistics properties in the United Kingdom.
It forms part of the Daventry International Rail Freight Terminal (DIRFT) which is ideally placed for both road and rail transportation and distribution. At this location, the M42, M1 and M6 major motorways form the logistics ‘Golden Triangle’ and over 98% of the UK population can be accessed within four hours truck drive. In addition, DIRFT also enjoys direct rail connection, as one of the earliest post-Channel Tunnel road-rail intermodal terminals.
Charles Balch, Head of Real Estate Finance International at pbb Deutsche Pfandbriefbank, said: "We are very pleased to have been able to provide refinancing for this prime logistics property for Prologis, one of our long standing and esteemed clients. We are looking forward to continuing the strong relationship with them in all of our joint markets across Europe.”
Christian Nickels-Teske, Head of Treasury and Capital Markets, Prologis Europe, added: "We are pleased to expand our relationship with pbb Deutsche Pfandbriefbank, a reliable partner for many years, and at the same time meet our fund's investment objectives as we continue to strategically access the capital markets throughout Europe.
"Prologis property funds continue to be attractive to lenders due to the high-quality, well-leased assets in prime locations and generating stable cash flows."