LaSalle underwrites €210m whole loan to refi Blackstone’s Rhein-Ruhr-Zentrum

Blackstone and ECE have refinanced the Rhein-Ruhr-Zentrum shopping centre in Mülheim, Germany with a €210m whole loan from LaSalle Investment Management.

LaSalle IM logoCoStar News understands that LaSalle initially underwrote the €210m whole loan with Helaba coming in and taking a €175m senior slice leaving LaSalle with a €35m mezzanine loan.

Helaba, in turn, syndicated a portion of its €175m senior loan to Natixis.

Pricing on the senior loan is understood to be sub 200 basis points over Euribor, while the mezzanine slice was circa 9% IRR, CoStar News understands.

The Rhein-Ruhr-Zentrum shopping centre is approximately valued at €270m, which implies a whole loan LTV of just under 78%.

Blackstone is now the majority owner of the Rhein-Ruhr-Zentrum shopping centre after initially acquiring a 45% equity stake in the broader Gustav portfolio from Bank of America Merrill Lynch (BAML).

BAML sold its equity interest in late 2012 in the four German shopping centres, against which Eurohypo originated a loan which was sold to Opera Germany No. 2 vehicle which, in turn, was issued as CMBS notes.

Back in December 2011, the then-still-Eurohypo restructured the CMBS loan – for which the collateral included Rhein-Ruhr-Zentrum shopping centre as well as the larger Ko Galerie in Dusseldorf – with an agreed disposal plan in exchange for a two-year extension.

In addition, the loan’s collateral included the Opernpassage shopping centre in Colone, sold by Peakside Capital for the equity partners for more than €63m at the end of last year, and Schwanenmarkt in Krefeld.

Allianz Real Estate confirmed back in April that it had acquired Kö-Galerie from Blackstone and ECE for €300m, having benefited from the majority of a €60m capex investment into the asset.

All parties declined to comment.

jwallace@costar.co.uk

About CoStar News

Finance Editor, CoStar News
Gallery | This entry was posted in Banks, CMBS, Lenders, Mezzanine, Private equity real estate, Refinancings and tagged , , , , , , . Bookmark the permalink.

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