Germany's Alstria office REITsaid on Monday that it has been granted EUR 172 mln in financing from Berlin Hyp and Landesbank Berlin to fund recent office property acquisitions.
Germany's Alstria office REITsaid on Monday that it has been granted EUR 172 mln in financing from Berlin Hyp and Landesbank Berlin to fund recent office property acquisitions.
The investments were initially funded using the available cash raised through the company's recent capital increase. Alstria is now levering the acquisitions at around 40% Loan-To-Value through a new bullet loan from Berlin Hyp und Landesbank Berlin.
The new debt facility, with a term of seven years, provides a gross EUR 56 mln of cash flow and raises the average maturity of Alstria's liabilities from 3.6 to 3.8 years. The new interest rate exposure is fully hedged with a 3% interest rate cap.
'Our ability to finance a value-add portfolio at a time of severe restrictions in property lending is not only a testimony to the strength of our balance sheet, but also to the trust of the lenders in Alstria’s asset management capability,' said Olivier Elamine, CEO of Alstria.
