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PGIM Real Estate and Rothesay Life provide €350m facility

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CBRE Global Investors has successfully completed a long-term refinancing for the CBRE Dutch Office Fund. PGIM Real Estate has arranged the 8-year, €350m Term Loan which was provided jointly by PGIM Real Estate and Rothesay Life (“Rothesay”) as co-lenders.

The loan is secured by the World Trade Centre Amsterdam, one of the assets that is part of the CBRE Dutch Office Fund, and unlocks additional capital for the continued investment and growth of the World Trade Centre, including the development of the ‘WTC Amsterdam Tower Ten’, which will comprise a large-scale redevelopment of 17,000 sqm of existing space and 32,000 sqm of newly built modern office space.

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After completion, WTC Amsterdam will consist of more than 160,000 sqm, facilitating more than 300 different companies. WTC Amsterdam forms the heart of the central business district of Amsterdam.

The refinancing builds on the existing financing relationship of CBRE Global Investors with PGIM Real Estate and facilitates Rothesay’s senior loan debut in the Netherlands.

The CBRE Dutch Office Fund is one of the largest Dutch non-listed office funds, managed by CBRE Global Investors, with approximately €1.9bn AuM and has a core investment strategy with a focus on prime locations in the G4 cities in the Netherlands. The Fund capitalises on continued economic growth in the Netherlands, utilising a cycle-aware investment style and focuses on value creation through active management and core+ investment strategies, resulting in sustainable and consistent outperformance.

PGIM, the global investment management business of Prudential Financial, Inc. (NYSE), is one of the largest real estate investment managers in the world, with more than $168.4bn in gross real estate assets under management and administration, as of 31 December 2018.

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Through its PGIM Real Estate and PGIM Real Estate Finance businesses, PGIM leverages a 140-year history of real estate lending on behalf of institutional and middle-market borrowers, a 49-year legacy of investing in commercial real estate on behalf of institutional investors, and the deep local knowledge and expertise of professionals in 31 cities around the world. Since first establishing a European real estate lending platform in 2009, PGIM Real Estate has raised and invested over $9bn across Europe on behalf of institutional investors.

Rothesay Life is a market leading pensions de-risking insurer with over £36bn AuM of which over £5bn is secured property lending. It was established in 2007 by Goldman Sachs and now has three institutional shareholders Blackstone, GIC and Mass Mutual.

Commenting on the transaction, Ronald Gordijn, CFO for the CBRE Dutch Office Fund said, “We are pleased that PGIM Real Estate and Rothesay Life have partnered up as long-term debt providers of the Fund. With this refinancing the capital requirements of the Fund for the medium term have been secured and we look forward to a successful completion of WTC Amsterdam Tower Ten in 2021, which will be another important highlight of the Fund.”

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David Gingell, executive director for continental debt origination at PGIM Real Estate said, “We are pleased to continue our relationship with CBRE Global Investors on their CBRE Dutch Office Fund by refinancing our initial 2014 loan, and to have supported Rothesay on their first Netherlands transaction.

“This loan, which bolsters the continued establishment of WTC Amsterdam as the city’s primary meeting place, is consistent with the quality of real estate, sponsorship and partners we strive to work with across the continent. We look forward to continuing to partner with both firms.”

Also, Harish Haridas, head of commercial real estate debt added, “Rothesay Life is delighted to have worked alongside CBRE Global Investors and PGIM Real Estate in achieving the refinancing objectives and continuing development of the World Trade Centre, Amsterdam complex.

“CRE loans backed by high quality collateral and experienced sponsorship as exemplified by this transaction are an important component of Rothesay Life’s investment strategy.”




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