JLL advises Capital Trust Group on refinancing of Kao One, a fully-let Grade A office asset in Harlow

Refinancing underlines lender appetite for stable and long-term rental income-producing assets

  

Dubai, UAE – JLL has advised Capital Trust Group, a private equity, real estate and corporate finance advisory firm with operations in the UK, Europe, USA, the Middle East and North Africa, on the £17.5 million refinancing of Kao One, located in Harlow and consisting of 127,000 SF of accommodation. The loan was provided by Riyad Bank and was used to refinance a 4-year interest-only acquisition facility also arranged by JLL (HFF) in 2017.

The asset is 100% let to two tenants – Raytheon Systems Ltd and Arrow Electronics – which offer exceptional covenant strength and income security, with a WAULT of more than 10 years. Kao One forms part of a larger site, Kao Park, which lies within a government-designated investment zone. The asset provides 113,000 SF of office accommodation and 14,000 SF of data centre space.

The asset forms part of Capital Trust Group’s strategy of sourcing investments that will produce superior risk-adjusted returns for the Group and its clients. Kao One was acquired by the Group in 2017 for cash-on-cash return, and it will continue to be held for the same purpose. The £17.5 million cash-neutral refinancing represents 60% LTV and has been provided for a 5-year term.

JLL’s Debt & Structured Finance team who lead the financing included Senior Director Claudio V. Sgobba, Senior Analyst Hamish Gordon, and Analyst Elena Roberts.

Guy Hodgson, Director, Capital Trust Limited, commented: “we are pleased to have successfully completed this transaction with JLL which continues to build on our strong relationship and look forward to working with Riyad Bank in the coming years”

Olga Aburdene, CEO, Capital Trust Limited, commented: “With this refinancing we continue to deliver the targeted outcome for investors of attractive high quality income with capital protection”

Claudio Sgobba, Senior Director, Debt and Structured Finance, EMEA, JLL, said: “We’re delighted to have supported Capital Trust Group on this refinancing. Through a comprehensive financing process, JLL were able to secure the most accretive financing terms in the market to generate superior leveraged returns for Capital Trust Group.”

Send us your press releases to pressrelease.zawya@refinitiv.com

© Press Release 2021

Disclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.

The press release is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Neither this website nor our affiliates shall be liable for any errors or inaccuracies in the content, or for any actions taken by you in reliance thereon. You expressly agree that your use of the information within this article is at your sole risk.

To the fullest extent permitted by applicable law, this website, its parent company, its subsidiaries, its affiliates and the respective shareholders, directors, officers, employees, agents, advertisers, content providers and licensors will not be liable (jointly or severally) to you for any direct, indirect, consequential, special, incidental, punitive or exemplary damages, including without limitation, lost profits, lost savings and lost revenues, whether in negligence, tort, contract or any other theory of liability, even if the parties have been advised of the possibility or could have foreseen any such damages.


More From Press Releases