French REIT ANF Immobilier has secured a €400 mln financing agreement from four French banks to fund its investment and disposal strategy.
French REIT ANF Immobilier has secured a €400 mln financing agreement from four French banks to fund its investment and disposal strategy.
The lenders are Natixis (agent), Banque Européenne du Crédit Mutuel, BNP Paribas and Crédit Agricole CIB.
The new seven-year loan fits in with the growth strategy set out in early 2013, ANF said. The loan structure is based on a mortgage mechanism and creates further flexibility in procuring future financing, the company said.
The loan comprises refinancing for existing lines of credit for a total of €340 mln, plus an additional €60 mln to facilitate ANF Immobilier's medium-term development.
The real estate investment company said it now has the resources to more smoothly implement its strategy, which consists of a €240 mln plan for new acquisitions, developing existing land reserves for €170 mln and disposing of its non-core assets for €238 mln.
The estimated cost of debt in 2014 is 3.5%, 80% of which was hedged by financial instruments. The loan-to-value ratio of nearly 40% remains very conservative with regard to its obligations. ANF Immobilier said the loan enabled it to remain one of the least leveraged real estate investment companies in the market.
Advice on the financing transaction was provided by the notary offices of Wargny Katz and Ginisty and by the law firms of DS Avocats and Shearman & Sterling.
ANF Immobilier, part of the Eurazeo Group, owns and manages real estate assets worth nearly €1 bn in the city centres of Marseille, Lyon and Bordeaux.
