Global real estate investment manager Barings Real Estate has provided its first floating rate senior debt facility on behalf of an institutional investor with a £42.7m (€48.3 mln) loan secured against The Pinnacle in Leeds.
A fund advised by Brockton Capital purchased The Pinnacle in April 2018 for £65 mln (€73.5 mln).
The building is located in central Leeds and comprises 145,000 ft2 (13,500 m2) of mixed-use area over 19 floors. This area includes 15 retail and leisure units on the lower levels, a 388-space multi-storey car park and 75,000 ft2 (7,000 m2) of office accommodation on the upper floors.
Chris Bates, head of real estate core mortgage Europe at Barings, commented: ‘As our first floating rate senior loan transaction, the financing of The Pinnacle is an important milestone in the diversification and growth of our lending business in Europe.’
The property is currently leased to 27 tenants with a weighted average unexpired lease term to break of 11.9 years.
‘We are delighted to be working with Barings Real Estate who shares our vision to revitalise significant and improving destinations in major regional cities,’ added James Spencer, principal at Brockton Capital.