Deutsche Hypo, part of Nord/LB Real Estate Finance, has granted a total of £86.3 mln (€99.8 mln) in loans to global investment firm Barings for two separate office projects in the UK.
A £53.3 mln (€61.9 mln) loan will fund Landmark, a modern, 13-story office building occupying approximately 16,720 m2 in Manchester's central St. Peter's Square.
Currently leased to high-profile tenants including Santander, JLL, RSM, Grant Thornton, and Allianz Insurance, the building is close to a metro station. The property boasts strong environmental credentials, is certified BREEAM Excellent, and with an EPC A rating.
Deutsche Hypo is also providing a £33 mln (€38.3 mln) loan to refinance Vox, a 21,000 m2 BTR property with 280 apartments in Cornbrook, Manchester.
Amenities include a grocery store, landscaped outdoor space, a residents' lounge, a roof terrace, running track. The building also provides a gym, wellness center, multi-purpose studio, 50 parking spaces with EV charging, and over 280 bicycle spots. The property is just a two-minute walk away from Cornbrook tram stop. The majority of apartments boast an energy-efficient EPC B rating.
Both loans have a three-year term.
Paul Sutcliffe, senior director at Deutsche Hypo - NORD/LB Real Estate Finance, commented: ‘Grade A offices in prime locations in Manchester continue to be in high demand, particularly for offices with excellent ESG credentials such as Landmark. Vox is an excellent addition to Manchester’s BtR offering and there continues to be strong demand for this sector from companies and investors. Both assets are characterised by their prime location, public transport links and ESG characteristics.’
Daniel Köhler, head of Real Estate Treasury Europe at Barings, added: ‘Vox and Landmark are signature assets managed by Barings on behalf of a US investor and we are delighted that Deutsche Hypo, as Barings' trusted banking partner, is backing these high-quality assets with debt. Barings benefits from a broad network of lenders and we will continue to raise debt for our equity investments in our main markets in the UK, France, Germany, Italy, the Netherlands, the Iberian Peninsula and the Nordics, which range from core to opportunistic.’
