Special servicer Hatfield Philips International has declined to grant Treveria's German asset management arm a second 12-month loan extension on a CMBS loan securing a distressed German retail portfolio.
Special servicer Hatfield Philips International has declined to grant Treveria's German asset management arm a second 12-month loan extension on a CMBS loan securing a distressed German retail portfolio.
The loan has EUR 399 mln outstanding, of which EUR 370 mln was securitised in the ABN Amro-issued Talisman 6 CMBS.
In a statement on Monday, Treveria said that the facility and security agent has 'decided not to extend the standstill period which expired at midnight on 14 October 2012'. 'HPI has demanded immediate payment and discharge of all secured obligations in full,' it added. It is understood that the move could now result in a forced sale of the assets.
AIM-listed Treveria was granted an initial extension of up to three years on its EUR 421 mln securitised debt facility. The extension was contingent on the borrowers meeting agreed financial targets and complying with ongoing covenants and conditions.
Following the grant of the extension in 2011, Treveria replaced its management partner Cushman & Wakefield with IC Immobilien's Property Management arm which took over the management of Treveria's entire 370-property strong portfolio in the country. The retail assets totalling some 1 million m2 of space has a value of around EUR 1.4 bn.
Treveria said its board is currently assessing its options and further announcements will be made in due course.
