Schroders secures new EUR 275m loan for Welput

UK investment manager Schroders said it has secured a new £230 mln (EUR 275 mln) five-year debt facility for its West End of London Property Unit Trust (Welput). The facility was jointly provided by lenders Deutsche Bank and Eurohypo.

In addition to the refinancing, the vehicle announced it undertook over £330 mln of purchases and sales, recycling capital into properties that will benefit from the asset management skills of its specialist property adviser, the Grafton team. At the calendar year-end, the fund's portfolio comprised nine assets which were valued at circa £690 mln.

'The terms agreed are highly attractive to our existing investors and will allow investors considering participating in the ongoing equity raising to have full confidence in the future of the trust,' said Jane Gravestock, fund manager of Welput. 'This financial security will also importantly underpin the asset management initiatives of Grafton Advisors, enabling them to continue to identify opportunities to extract growth from the portfolio.'

'Eurohypo has been lending to Welput for a number of years now and we are delighted to continue our support through the new facility,' added Michael Acratopulo, managing director of Eurohypo. 'The quality of the trust's assets and track record makes the facility exactly the type of business that Eurohypo is seeking to write.'

Welput was established in 2001 as a closed-ended property unit to provide investors with an exposure to the West End office market. It focuses on large multi-let buildings.