24th Sep 2014 06:32
LONDON (Alliance News) - Kennedy Wilson Europe Real Estate PLC Wednesday said it has completed a GBP184 million asset financing secured against some assets in the Jupiter real estate portfolio it acquired in June, and expects to draw down the facility in full.
The facility was arranged with Royal Bank of Scotland Group PLC and has a five-year term. Once the facility is drawn down, Kennedy Wilson's loan-to-value ratio will rise to about 34%, with approximately GBP506 million of debt financing in place at the asset level and a weighted average maturity of approximately 4.6 years, it said.
"The completion of this financing has enabled the company to effectively manage its balance sheet and provided significant additional flexibility to enhance future investment opportunities and manage growth prospects," Chief Executive Mary Ricks said in a statement.
The Jupiter Portfolio is a portfolio of 21 real estate assets located in commercial centres across England and Scotland. It comprises 11 office assets, nine retail assets and one industrial asset, of which 11 of the assets are freehold and 10 are leasehold.
At the end of August, the portfolio consisted of approximately 2.5 million square feet and had an annualised gross rental income of about GBP25.3 million, with a weighted average lease term of around 7.3 years and an occupancy rate of about 88% by area.
By Steve McGrath; [email protected]; @stevemcgrath1
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