Bruntwood secures refinancing deal
PROPERTY developer Bruntwood has agreed a new £200m medium-term funding agreement with a club of three banks.
The company’s two incumbent banks, RBS and HSBC, have been joined by Barclays Real Estate, which has provided an additional £30m to the company.
Bruntwood now has a portfolio of 101 buildings including City House, West One and Hepworth Point in Leeds.
The privately-owned, Manchester-based firm employs more than 400 staff and has over 2,000 customers. Alongside its medium-term loan facility, the company has a £440m Commercial Mortgaged Backed Securitisation which was arranged by RBS in 2007. It is due to expire in 2014.
Kevin Crotty, Bruntwood’s banking director, said: “Bruntwood has always made long term sustainable growth its priority, rather than short-term commercial gain. As a result, it is companies such as ourselves that have emerged from the recession fitter and stronger. In a market where many property owners are constrained by excess debt, Bruntwood’s financial strength remains a major advantage.”
He added: “The ability for Bruntwood to attract new bank lending in this very difficult environment demonstrates our financial standing and ability to invest in our product – a very important message in attracting and retaining customers in our portfolio.”
Matt Jones, business development director for Barclays Real Estate, said: “This is one of many new-to-bank deals completed recently by Barclays Real Estate in Manchester and highlights our appetite to support quality clients in a tough market.”
