French business real estate specialist BMG Group has secured €70 mln in ESG financing through a green security trust with a consortium of financial institutions.
The consortium, led by BPCE Lease, includes BPI France, Banque Populaire Bourgogne Franche-Comté, Caisse d'Épargne et de Prévoyance Bourgogne Franche-Comté, Caisse d'Epargne et de Prévoyance Grand-est Europe and La Banque Postale Leasing & Facturing.
BMG will utilize the 12-year loan to partially or fully refinance a €45.3 mln bond issued in 2019 by AB Sagax and accelerate its sustainability initiatives.
The loan is secured by a trust holding the securities of a company owning 48 properties across France. The diversified portfolio of over 110 clients mitigates real estate risk.
Louis Ramé, president of the BMG Group, said: ‘We are happy and proud of the renewed confidence of our financial partners. This financing reaffirms the BMG Group's ability to raise significant funds and mobilize significant resources from major players, despite an uncertain economic context.’
Nicolas Ramé, managing director of the BMG Group, added: ‘This is a crucial step for our group, which consolidates our position as a benchmark in the sustainable real estate market and in the heart of the regions, while allowing us to accelerate our CSR commitments. We have made the strategic choice to retain assets in need of energy work, giving them a second life, by reducing their environmental impact.’
To maximize energy efficiency, BMG will allocate 5% of rental income towards property upgrades and repurposing. This latest investment supports the group's broader sustainability goals and empowers its businesses to adopt eco-responsible practices.
BMG Group was advised by Delsol Avocats and C&C Notaries, while Mermoz Avocats advised the lenders.
BMG Group’s portfolio consists of more than 160 sites, including 21 coworking spaces, and with nearly 830,000 m2 in mainland France.
