French residential REIT Foncière Développement Logements (FDL) has secured a EUR 387 mln refinancing from two German banks to help reduce the company's securitised debt in Germany.
French residential REIT Foncière Développement Logements (FDL) has secured a EUR 387 mln refinancing from two German banks to help reduce the company's securitised debt in Germany.
The financing was provided by Landesbank Baden Württemberg (LBBW) and Berlin-Hannoversche Hypothekenbank, a member of the Landesbank Berlin - Group (LBB).
Backed by a portfolio of almost 10,000 properties, the financing have an average rate of 4% over a term of 9.5 years.
This is the latest stage in FDL's programme to reduce its securitised debt in Germany from EUR 1.4 bn originally to EUR 537 mln of debt payable in 2013.
FDL had already agreed a EUR 207 mln refinancing in December 2010, carried out bond redemptions and sold EUR 357 mln of assets from the securitised portfolio. Some EUR 120 mln of the sales were realised this year.
'Given the negotiations pending with other institutions, it should be possible to refinance the balance of the securitised debt from mid-2012,' the company said in a statement.
FDL owns a portfolio valued at EUR 3.3 bn in Germany and France.
