Allianz Real Estate said on Monday that it has provided €365 mln as part of a €630 mln senior financing facility arranged and underwritten by Aareal Bank to finance a pan-European office portfolio bought in late 2014 by US REIT NorthStar Realty Finance Corp.
Allianz Real Estate said on Monday that it has provided €365 mln as part of a €630 mln senior financing facility arranged and underwritten by Aareal Bank to finance a pan-European office portfolio bought in late 2014 by US REIT NorthStar Realty Finance Corp.
NorthStar, which last week also finalised the acquisition of the iconic Trianon office tower in Frankfurt for €540 mln, or a yield of 8%, had acquired the 186,000 m2 portfolio from German asset manager SEB Immobilien for around €1.1 bn.
The transaction is one of the largest syndicated loans agreed between a bank and institutional investor in Europe and one of the largest financings provided by a German insurance company in this market to date, Allianz said in a statement. It is the first time that the German investor is financing a cross-border, pan-European portfolio with tranches in various currencies, it added.
The portfolio comprises 11 office buildings, located in Brussels, Hamburg, Paris, London, Milan, Amsterdam, Rotterdam and Gothenburg.
'Investing into this high-volume, pan-European facility is in line with the growth and diversification strategy of European Allianz companies in the property sector,' said Roland Fuchs, head of European Real Estate at Allianz Real Estate.
'This syndication is another milestone in Aareal Bank's cooperation with leading insurance companies such as Allianz. At the same time, it reflects our aim to win over institutional investors as syndicate partners, alongside banks,' added Christian Schmid, managing director of business and syndication management at Aareal Bank.
