Mercia Real Estate has secured £63.1m (€72.5m) in financing from specialist real estate lender Leumi UK and Martley Capital to refinance a UK industrial property portfolio.
The facility comprises £44.4m in senior debt provided from Leumi UK, as well as an £18.7m mezzanine loan provided by Martley Capital to refinance the four-site industrial portfolio located across the Midlands.
The portfolio’s largest asset is Telford Business Park, which features two existing properties and 46 acres of development land. The site holds planning consent for the delivery of 935,000sqft of industrial space across five new units.
Sam Clark, CEO at Mercia Real Estate, said: “We really value Leumi UK’s flexibility, their understanding of our objectives, and their commitment to working closely with us to develop a financing solution that will enable us to achieve our goals with these assets, and unlock the clear value we see at Telford Business Park in particular.
“Leumi UK have been fantastic partners for us and we look forward to working with them as we progress our ambitious business plan for this portfolio.”
The deal is Leumi’s third transaction in partnership with Martley Capital over the past 12 months.
Tom Tunley, director at Martley Capital Group, said: “We’re delighted to have worked with Leumi UK and Mercia Real Estate on this refinance. This transaction demonstrates our ability to understand clients’ complex requirements and deliver flexible solutions alongside other relationship-driven lenders.”
Oliver Stenning, relationship director at Leumi UK, said: “We were thrilled to provide a financing solution specifically tailored to Mercia’s business plan for these attractive assets. It is also pleasing to build on our trusted relationship with Martley Capital, in what is our third co-lending deal.
“We have extensive experience in the industrial sector, and it is clear these conveniently located assets are well placed to deliver value going forward.”
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