US privately-held developer-investor Tishman Speyer has signed a ten-year community-impact linked real estate financing with German lender Helaba to partially finance the acquisition by the Tishman Speyer European Core Fund (TSEC) of Les Magasins Généraux in Paris.
This credit facility includes an innovative social impact feature whereby the bank partially waives its remuneration and Tishman Speyer makes a matching contribution to a selected charity on an annual basis. Considering the current environment and to help in the fight against the Covid-19 pandemic, Tishman Speyer has chosen to support the Fondation de l’Assistance Publique–Hôpitaux de Paris (AP-HP). AP-HP Foundation was created to develop new resources to support medical research and improve the organisation of treatment, quality of care for patients, as well as work conditions for healthcare providers within AP-HP’s 39 public hospitals.
Les Magasins Généraux is a state-of-the-art 19,000 m2 office property, situated along the waterfront area of the Canal de l'Ourcq in the Pantin area of Paris.
The innovative financing partnership is the first of its kind for Tishman Speyer and its TSEC Fund, a fund promoting environmental and sustainable characteristics under Article 8 of the European SFDR regulations. The total amount will be funded in equal parts by TSEC and Helaba. Helaba has acted as arranger and lender in this operation. Tishman Speyer was advised by De Pardieu Brocas Maffei and C&C Notaires and the lenders by Archers and Allez & Associés.
Philippe Joland, senior managing director and president of Tishman Speyer France said: ‘Les Magasins Généraux is the fourth major acquisition we have led in Paris in recent months and is a further positive signal of our strong belief in this great city and its prospects for value creation post pandemic.’
Martin Simonneau, managing director at Tishman Speyer in charge of Debt Capital Markets, added: ‘We would like to thank our lending partner Helaba for their continued strategic partnership and also for their contribution to such an important cause. The inclusion of this innovative solidarity feature is another example of the significance we place on supporting the communities in which we work as we pursue our business of developing and managing truly exceptional properties.’
The Tishman Speyer European Core Fund is the company’s European open-ended core vehicle with some €1.1 bn in assets currently under management. The Fund owns and manages properties in London, Paris, Frankfurt, Berlin, and Hamburg.
