RDI REIT completes £75m London office portfolio refinancing – RDI REIT (RDI), the income focused UK-REIT, has confirmed that, further to the announcement on 5 June 2019, it has completed the second and final stage of its £75m London serviced office portfolio refinancing.
The facility, provided by Aberdeen Standard Investments for a seven-year term, has refinanced two existing facilities that were due to mature in December 2019 and August 2022.
The first stage drawdown of £25m was completed in May 2019 at a fixed rate of 2.90% and the second stage drawdown of £50m has now completed at a fixed rate of 2.45%. The weighted average fixed rate for the new facility has improved from 3.13% to 2.60%.
The portfolio of four central London assets, with exposure to two new Crossrail stations and the Southbank market, has maintained a high occupancy rate of 94.5% (28 February 2019) with EBITDA increasing 0.9% since 31 August 2018 and the average stay now above 30 months.
About RDI
RDI is an income focused UK-REIT with a diversified portfolio invested principally in the UK. The investment approach is driven by what the company describes as an in depth understanding of occupational demand including the impact of technology, transport and infrastructure investment. The portfolio has been re-positioned in recent years to increase its weighting to London and the South East and to provide greater exposure to our leading hotel and serviced office operating platforms.
RDI is committed to delivering attractive income led total returns across the real estate cycle. The current strategic objectives of a lower leverage capital structure and more focused allocation of capital are targeted at delivering an industry leading and sustainable income return.
RDI: RDI REIT completes £75m London office portfolio refinancing
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