Valor Real Estate Partners (“Valor”) has completed a €103.8 million refinancing of recently acquired French assets held within its fund Valor Industrial Partners 1 LP with the leading European real estate financing bank, pbb Deutsche Pfandbriefbank (“PBB”).
The refinancing has been secured against seven of Valor’s last-mile logistics assets in France, including five assets located in prime Paris locations and two located in Lyon. The combined portfolio totals 170,000 sq. metres of logistics real estate. The largest investment is located in Le Bourget, the site for the 2024 Paris Olympics and comprises 11 fully let units and a 30,000 sq. metre development site.
The facility represents day 1 leverage of 65% LTV with a capex facility to complete the works at Le Bourget.
Matthew Phillips, Principal of Valor commented:
“I am delighted to announce the successful refinancing of our recent French acquisitions with PBB on attractive terms. The return of cash to investors will provide us with further equity to deploy into new investments and the facility also provides cost-effective funding to support the delivery of our development site in Le Bourget. In addition, we are pleased to expand our lending relationship with PBB into another geography following our UK financing with the bank in 2017 and look forward to working together in France.”
Norbert Müller, Head of REF Continental Europe West of pbb Deutsche Pfandbriefbank commented:
“We are pleased to deepen our relations with Valor with this first financing in France after the previous financing in the UK last year. This is a further example of an investor seeking to add value through long term asset management. We are confident that the experienced management team will execute the Business Plan including the Le Bourget asset and look forward to strengthening our relations with new transactions to come.”
Valor was advised by Simmons & Simmons and Oudot, PBB was advised by Fairway and Etudes Lasaygues.