European logistics platform Valor Real Estate Partners and QuadReal Property Group have secured a new dual tranche revolving credit line for their €1 bn last mile logistics Joint Venture, comprising a £100 mln tranche and a €100 mln tranche, with lenders HSBC and CIBC.
The facility will provide the Joint Venture with additional funding flexibility and liquidity as it seeks to accelerate its investment programme.
The three year facility is expected to provide considerable flexibility that will enable the firms to respond even more quickly to investment opportunities and to aggregate a portfolio of assets before refinancing with longer term debt.
In November last year Valor acquired a 144,000 sq ft (13,400 m2) industrial estate in Barking, East London, the first made on behalf of the Joint Venture. Valor currently manages an 80+ asset portfolio totalling six million sq ft .
Matthew Phillips, principal at Valor, commented: 'Agreeing this sizeable facility is an important step following the launch of the QuadReal JV last year and will allow us to accelerate our investment programme. The timing has allowed us to take advantage of strong lender interest for exposure to the high growth urban logistics sector as well as the favorable interest rate environment.'
