Amsterdam-based Delta Lloyd Asset Management has raised EUR 96mln of equity from institutional investors for its non-listed Dutch REIT, Delta Lloyd Dutch Property Fund. The investment vehicle targets residential, office and retail properties and has an initial portfolio of EUR 280mln. The fund manager expects the fund to increase to a size of EUR 500mln by 2010. Kempen & Co advised Delta Lloyd on this transaction.
Amsterdam-based Delta Lloyd Asset Management has raised EUR 96mln of equity from institutional investors for its non-listed Dutch REIT, Delta Lloyd Dutch Property Fund. The investment vehicle targets residential, office and retail properties and has an initial portfolio of EUR 280mln. The fund manager expects the fund to increase to a size of EUR 500mln by 2010. Kempen & Co advised Delta Lloyd on this transaction.
The fund, which is partly owned by Delta Lloyd, currently owns a portfolio of eight office buildings, four shops and nine residential complexes. HSH Nordbank is providing a EUR 65mln financing facility for the acquisition of the commercial assets, which are located in Hilversum, Utrecht, Arnhem, Delft, Zeist, Breda, The Hague, Ridderkerk, Rijswijk, Arnhem and Zevenaar. The portfolio has a value of EUR 160mln and an initial loan-to-value ratio (LTV) of slightly over 40%, according to HSH Nordbank.
'The portfolio has a well-diversified tenant structure. This means that the rent default risk is widely spread. Moreover, this is a rather conservatively geared transaction where the investor contributes more than half of the required funds in the form of equity,' said Peter Axmann, global head of real estate at HSH Nordbank.
