Hansteen refinances German portfolio

4 March 2014

Hansteen Holdings PLC

("Hansteen" or the "Company")

 Hansteen refinances German portfolio with new €343 million five-year facilities

Hansteen Holdings (LSE: HSTN), the UK and Continental European property investment company, announces that it has refinanced two loans secured against its German portfolio with two new loans totalling €343 million.

The Company's UniCredit loan, due for repayment in February 2015, has been refinanced with a €235 million five-year facility provided by a consortium of lenders including Landesbank Hessen-Thüringen Girozentrale (Helaba), Natixis Pfandbriefbank AG, SEB AG and various entities managed or advised by AXA REIM SGP. The loan-to-value ratio is 51% with hedging against 80% of the loan which results in an interest cost of 3.5% per annum excluding fees.

The second loan from Lloyds Banking Group, due to expire in October 2014, has been refinanced with a €108 million five-year facility from HSBC plc at a loan-to-value ratio of 48%. The Company has hedged €55 million of the loan with an interest rate swap, resulting in an average interest cost of 2.9% per annum, excluding fees. 

Ian Watson, joint chief executive of Hansteen, commented: "It is a testament to the strength of our business model that we have been able to raise two substantial new loans on multi-let industrial property in Germany. The terms equate to less than 4% per annum gross interest costs, including amortised fees, and we are delighted with our new banking relationships."

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HANSTEEN HOLDINGS PLC

Hansteen Holdings PLC (LSE: HSTN) is a European industrial REIT that invests in properties with high yields, low capital costs and opportunity for value improvement across Germany, the UK, the Netherlands, Belgium and France.

Founded by Morgan Jones and Ian Watson, the Company listed on Aim in November 2005 raising £125 million. In 2009, it raised a further £200.8 million by way of a Placing and Open Offer and moved to the Official List, converting to a REIT shortly thereafter. In April 2011, the Company raised a further £150 million by way of a Placing and Open Offer.

At 31 October 2013, the portfolio under management comprised 4.1 million sq m and was valued at over £1.5 billion.