Hansteen has refinanced two loans secured against its light industrial property portfolio in the Netherlands with a single facility totalling 鈧�145 mln.
Hansteen's 鈧�80 mln loan with FGH bank, the property financing arm of the Rabo bank group, and 鈧�57.8 mln loan with ING Bank, due for repayment in April 2017 and June 2019 respectively, were refinanced with a 鈧�145 mln, five-year facility provided by ING Bank and various entities managed or advised by AXA REIM SGP.
The London-listed European property company said that the refinancing resulted in a reduction in the cost of borrowing on the portfolio from 3.57% to 2.49%, excluding fees, representing a saving of 鈧�1.3 mln per annum.
The loan-to-value ratio is 48% with hedging against 66% of the loan which results in an interest cost of 2.49% per annum, excluding fees.
Paul Rodger, Hansteen鈥檚 European director, commented: 'It is a testament to the growing interest in the Dutch light industrial sector, and to our business model, that we have been able to refinance this portfolio on such competitive terms. The new loan is significantly earnings enhancing as the cost of borrowing will reduce by 鈧�1.3 mln per year. In addition the debt maturity profile has been extended from 1.69 years to five years.'
Hansteen has some 494 assets under management with a value of 拢1.5 bn at end-December 2015.
