Misr Italia Properties obtains $41.09mln syndicated loan to part-finance Cairo Business Park project

Egyptian pound-denominated loan to be disbursed in two tranches

  
Construction site of Misr Italia's Cairo Business Park project in New Cairo

Construction site of Misr Italia's Cairo Business Park project in New Cairo

Zawya/Eman Hamed/Zawya

Egyptian developer Misr Italia Properties said on Tuesday that it has secured a 650 million Egyptian pounds ($41.09 million) medium-term syndicated loan facility, denominated in Egyptian pounds, to finance part of the cost of its Cairo Business Park project.

The 1.5 billion pounds ($95 million) mixed-use development in New Cairo comprises of 42 office buildings and a 130-key four-star hotel.

The developer said in a press statement that National Bank of Egypt (NBE) was the agent and primary book runner for the facility while Egyptian Gulf Bank (EG Bank) and the Arab Investment Bank (AIB) were participants.

NBE's share of the facility was 300 million pounds ($19 million), according to the statement. EG Bank contributed 260 million pounds ($16.4 million) and Arab Investment Bank 90 million pounds ($5.7 million).

The statement noted that the loan facility has been structured with a repayment plan of seven years and is divided into tranches - a 530 million pounds ($22 million) first tranche for financing the office buildings component and a second tranche of 120 million pounds ($7.6 million) to finance the hotel, which will be managed by Hilton Hotels and Resorts.

The loan's interest rate wasn't disclosed.

Misr Italia would be delivering 15 office buildings by the end of 2020, the statement said.

The developer's land bank in Egypt stands at 11 million square metres.

(Writing by Eman Hamed; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

#Egypt #Misr Italia Properties #Real estate # Cairo Business Park

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