Leading industrial developer, investor and asset manager, Chancerygate, has agreed a comprehensive new funding agreement with Lloyds Bank Commercial Real Estate totalling more than £61m.
The deal comprises a 3-year £26.4m term loan, a £30m revolving credit facility and an innovative £5m revolving development line, which will allow it to build and then immediately refinance up to two new schemes at any one time.
Chancerygate is set to deliver a new industrial park in Harlow that will benefit from the development line. It has pre-lets over 50% of the scheme to Travis Perkins, Dulux and Howdens Joinery.
The revolving credit facility will provide the company with a war chest for new acquisitions and to help refinance parts of its existing portfolio.
Chancerygate has been a client of Lloyds Bank Commercial Banking for over 15 years
James Deane, Finance Director at Chancerygate, said: “We continue to see exciting opportunities in the UK industrial and logistics market and having a funding platform in place that will allow us to quickly take advantage of new opportunities, both through acquisition of investments, sites and funding new developments, is key. The package structured by Lloyds Bank gives us the firepower and flexibility we need.”
David O’Sullivan, Director in the London Private Groups team at Lloyds Bank Commercial Real Estate, added: “Chancerygate is a quality operator with significant scale and expertise across the UK. Its developments are well located and built to top specifications demanded by a broad spectrum of occupiers. It has a long track record of maximising asset value through strategic management.
“We worked closely with its management team to tailor a debt facility that would support its specific objectives, helping ensure it can continue to maintain its position as one of the leading privately owned industrial specialists in the market.”
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