29th November 2018
Rocket client powers up with £77m loan
Truscott Investments, a client of Rocket Properties, has secured a £77m five-year loan to refinance its hotel and retail development at 1-23 City Road near Old Street in London.
The loan from pbb Deutsche Pfandbriefbank will replace a previous facility on the 150,000 sq ft property that was set to expire in 2019.
The structure of the deal, which was arranged by debt advisor BBS Capital, gives Truscott Investments the flexibility to draw further funds against the asset in the future if required.
“We are pleased to have worked closely with pbb Deutsche Pfandbriefbank to deliver this innovatively structured loan that will allow our client to flexibly draw further funds against the asset, as and when required, to assist with the growth of its portfolio,” said Rob Jones of BBS Capital.
Rocket Properties acquired the Grade II listed property, a former office building on behalf of Truscott Investments in 2004, and transformed it into a 394 room hotel with 27,000 sq ft of retail space. The hotel is let to Travelodge and a mix of retail and leisure tenants occupy the space on the ground floor and basement levels.
Charles Balch, head of real estate finance international clients, UK, CEE & USA, at pbb Deutsche Pfandbriefbank, said: “The opportunity to finance this well located mixed-use asset, anchored by Travelodge, sits well with our current lending strategy in the UK.”
Tom Appleton, chairman of Rocket Properties, added: “We are delighted to have completed the refinance of 1-23 City Road on behalf of our client. The new loan arranged by BBS Capital from pbb Deutsche Pfandbriefbank provides the ability to draw down additional funds when required for further investment and development of the portfolio.”