WP Carey provides EUR 20m construction loan in Poland

Investment management group WP Carey said on Thursday that one of its publicly-held non-traded REIT affiliates, CPA:17 - Global, is providing a EUR 20 mln construction financing package for Nippon Sheet Glass (NSG) in Poland.

The financing provides 100% of the funds needed for the development of a 35,000-m² warehouse facility located in Tarnobrzeg. The warehouse is being developed by Panattoni Europe. When completed, it will be long-term, triple-net leased to a Polish subsidiary of NSG Group. The facility is located adjacent to NSG Group's EUR 80 mln investment in a new glass processing plant, which is currently under construction.

NSG Group, one of the three largest glass companies in the world, has been operating in Poland since 1993.

'In the current global financing markets, particularly in emerging markets, the ability of corporations and developers to obtain construction financing remains challenging. Our ability to fund 100% of the capital needed to complete the development of new facilities highlights how we can provide alternative financing solutions for developers and their corporate clients,' said Jeffrey Lefleur, managing director of WP Carey Europe.