Barings Real Estate has provided a €40m loan to finance the development of a retail park in Spain.
The manager said it provided the senior construction loan, on behalf of one of its managed accounts, to a joint venture between Kronos Investment Group and a global investment management company
The 36-month loan will finance the construction of a 64-unit, 48,646sqm retail park, with 2,000 parking spaces, including electric car charging stations in Dos Hermanas, located outside of Seville.
Barings said the project is over 70% pre-let, and the retail park is expected to open in summer next year.
Ben Silver, head of global real estate debt, Barings, said: “This is our latest loan to close in Western Europe as we continue to build our global debt platform.
“We are excited to be part of real estate transactions like Dos Hermanas and look forward to seeing opportunities from similar sponsors.”
Sam Mellor, head of real estate debt portfolio management and origination – Europe, Barings, said: “Dos Hermanas is a growing dormitory town close to Seville and this loan will enable the construction of the dominant retail scheme for the immediate and undersupplied catchment area.
“The strength of the project is evidenced by the high demand for space, which is already substantially pre-let.”