German lender HSH Nordbank is providing a €79 mln facility to Stockholm-based EQT Real Estate for its acquisition of 70,000 m2 of office space in Frankfurt.
The five-HSH Nordbank is making available €79 mln to the EQT Real Estate I fund for the purchase and refurbishment of two office properties. The loan has a term of just under five years.
The Atricom in Frankfurt’s Niederrad district was built in 1990 and consists of three parts with around 45,600 m2 rental space. In neighbouring Neu-Isenburg, the multi-tenant office property Le Büro dating from 1999 to 2003 has around 23,700 m2 rental space in four parts grouped around an inner courtyard. The two building complexes are situated in terms of transport links and will be extensively revitalised over the coming months.
EQT is a leading alternative investments firm with €37 bn in raised capital across 24 funds. The key to collaborating with HSH Nordbank was that the loan structure was ideally adapted to the business plan of EQT with the combination of purchase and capex finance.
Peter Axmann, head of real estate at HSH Nordbank, said: 'Frankfurt is among the top 7 office locations in Germany. The possible impact of Brexit is not least among the factors that will make this metropolitan region appealing to many companies and investors going for-ward. In EQT Real Estate, we have gained a highly professional new client who has secured two properties of good quality and high potential through this transaction.'
