ABN AMRO provides EUR 85m financing for Dutch logistics deal

ABN AMRO is providing a EUR 85 mln financing package to Euronext-listed warehouse specialist WDP as part of its international expansion plans.

WDP, a Belgian closed-end real estate investment company, announced on Monday that it has signed a final purchase agreement to acquire a Dutch logistics portfolio from Dutch listed property company Wereldhave for EUR 42 mln. The acquisition covers six leased logistics sites, five of which are leased to DHL Express and one to Iron Mountain, mostly located in the Randstad conurbation.

The transaction, which was originally announced in March and takes effect on 1 May, is part of the new growth plan that WDP launched in mid-February. WDP's Dutch portfolio will have a total investment value of EUR 200 mln following completion of the deal.

The financing package with ABN AMRO consists of a bullet loan (2+2 years) for EUR 60 mln for the financing of the Wereldhave transaction as well as the re-financing of the current investment programme in Belgium for 2011. In addition, the package also includes a short-term loan EUR 25 mln that ABN AMRO is making available for the advance financing of the further growth of WDP in the Netherlands.

The financing agreement with ABN AMRO is part of the WDP strategy to bring in another banker, in addition to the basic financing of the closed-end real estate investment company in Belgium with Belgian banks, for each country in which WDP is active to finance the local growth. Hence WDP concluded an agreement in December 2010 with the EIB for the financing of its growth process in Romania. In this way, WDP is broadening its financing base to support the further growth and the financing risk is distributed over multiple banks.

WDP constructs, develops and lets semi-industrial and logistics property (warehouses and offices). WDP has more than 1.2 million m² of property in its portfolio. This international portfolio of semi-industrial and logistics buildings is spread over 80 sites at prime logistics locations for storage and distribution in Belgium, France, the Netherlands and the Czech Republic.

WDP has a ground potential of almost 2 million m² in Rumania.