Allianz Real Estate has extended its presence in the UK real estate market with a £212 mln (€234 mln) loan to London & Regional's 55 Baker Street property.
Allianz Real Estate refinanced the senior portion of a total loan, in a conservative deal structure which made the transaction 'very appealing', said Roland Fuchs, head of European Real Estate Finance at Allianz Real Estate.
'Prime real estate like 55 Baker Street supported by top quality sponsors, suits our approach to European debt investments,' said Fuchs. '55 Baker Street also expands our UK portfolio, supporting the diversification strategy that the Allianz companies have been pursuing since 2013.'
The deal is Allianz's second loan in the UK market this year, having co-financed the CityPoint Tower earlier in 2017.
Located in London's West End, 55 Baker Street is a mixed-use building of around 48,500 m2 including 43,400 m2 of offices, 4,900 m2 of retail and some residential units. A former Marks & Spencer headquarters, the property was acquired by London & Regional Properties in 2005 and restructured in 2008 which allowed it to receive an 'excellent' rating under BREEAM energy efficiency standards.
The asset is fully let on long-term leases.
