Allianz Real Estate has provided a £140 mln (€161 mln) green loan to Canary Wharf Group (CWG) for the financing of 10 George Street in Canary Wharf, London.
The 10-year, fixed-rate loan – structured with an initial 7-year term with three 1-year extension options – marks Allianz Real Estate’s first single-asset Private Rental Sector (PRS) debt transaction in Europe.
Located in Canary Wharf, the prime asset offers a net rentable area of 224,039 sq ft (20,800 m2), 327 residential units and three retail units. With direct access to Central London, the 35-floor high rise building benefits from excellent transport connectivity, which is set to further improve with the opening of the Elizabeth line in 2022. The asset has achieved BREEAM ‘Excellent’ accreditation and the Allianz loan also meets all the necessary Loan Market Association requirements to be classified as a green loan.
The financing marks the firm’s eighth debt transaction in London, bringing the value of the firm’s debt book in the city to almost €2 bn.
‘We are delighted to be expanding our European debt portfolio with such a high-quality prime asset, and with a likeminded partner who supports our commitment to leading the international real estate market in terms of ESG and sustainability. This transaction also provides us with a strong opportunity to further diversify of our European loan book through exposure to the dynamic PRS market,’ said Roland Fuchs, head of European Real Estate Financing, Allianz Real Estate.
‘This latest deal reaffirms our commitment to the London market, which continues to offer strong investment opportunities in select sectors,’ said Shripal Shah, head of Debt Origination - London, Allianz Real Estate. ‘10 George Street offers great value, high-quality residential units for rent in an excellent location – a strong addition to our UK loan book and outstanding investment for our clients.’
