Tritax Big Box REIT has announced that it has agreed a new long-term, interest only, fixed rate term loan facility of £90 million with PGIM Real Estate Finance, secured against a portfolio of three standing assets and one forward funded asset. The 10-year Facility, which will be drawn in full immediately, is repayable on 2 March 2027 and has a fixed all-in rate payable of 2.54% per annum. The amounts drawn down under the Facility will be segregated and non-recourse to the Company and contains an accession mechanism allowing for further assets to be added to the Facility in the future. The company says that the proceeds will be used to acquire further investments.
The Facility maintains the Group’s weighted average margin payable across its facilities at 1.43% whilst reducing the weighted average capped cost of borrowing to 2.78%. Furthermore, the Facility extends the Group’s weighted average unexpired loan term from 4.7 years to 5.3 years. The Group has a medium term loan to value target of up to 40%, although it says that it expects that the level will be maintained in the region of 30% to 35% in the short term.
Board of Tritax Big Box REIT secures new £90m loan facility : BBOX