£300m refinance for Bruntwood

MANCHESTER landlord Bruntwood has secured a £300m facility with a syndicate of banks, extending an existing arrangement.

It has agreed a new five-year deal with the Royal Bank of Scotland (RBS), Barclays, Santander and HSBC, which represents an extension of an existing £221m facility.

The property group, which owns 110 properties valued at around £891m, said it was the final stage of a two-year process of refinancing around £600m of loans.

Chief executive Chris Oglesby said: “This refinance is the final stage in a remarkable two years for the Bruntwood business in which we have refinanced £600m of facilities. Two years ago, as part of that process, we extended £236m of our 2007 £440m securitisation out to 2017 with a promise to reduce the leverage and refinance it by 2017.  

“We are very pleased to have delivered on that promise well ahead of programme. We now sit in a very strong position with the headroom in our facilities from which to deliver our future growth pipeline. We have an excellent relationship with all those involved in the bank syndicate, all parties understand our business and deliver funding resource to match our aspirations.”

Karen Johnson, head of real estate for Manchester at RBS, said: “Bruntwood plays a key role in the North of England economy and the banking syndicate is delighted to continue to support the well established relationship and provide increased funding to facilitate their continued growth.”

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