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PGIM Real Estate grows European debt portfolio in logistics and last-mile

PGIM Real Estate continued to build its European senior loan portfolio in the logistics and industrial sectors, providing financing for three separate portfolios across the UK and Continental Europe, in the fourth quarter of this year. 

PGIM Real Estate is the real estate investment and financing business of PGIM, the USD1.4 trillion global investment management business of Prudential Financial, Inc. (NYSE: PRU).

PGIM Real Estate has provided loans of GBP31.95 million, for the financing of a multi-tenanted industrial and logistics property portfolio in the UK, and GBP95 million to refinance nine freehold logistics assets in the UK. In addition, it has provided a loan of EUR131.5 million for the financing and acquisition of a light industrials and logistics portfolio in the Netherlands.

The senior debt team continues to demonstrate its expertise and market knowledge in logistics and last-mile, against the backdrop of increasing online-retail-related demand and a shifting trend for industrial companies to carry larger and more robust inventories as part of their supply chain management. PGIM Real Estate’s European debt platform is GBP5 billion AUM, which includes a senior loan portfolio of over GBP4 billion AUM across the UK and Continental Europe.

Andrew Macland, head of European Debt, says: “With these loans, we continue to strengthen our debt platform and build an attractive portfolio of senior loans in logistics and light-industrial, across the UK and Continental Europe. Using the global reach and expertise of PGIM Real Estate, we are able to execute transactions across the full spectrum of industrial assets, taking  advantage of the strong positive long-term fundamentals and meeting investor demand for the asset class. These loans demonstrate our ability to support sponsors through market uncertainty, and maintain a strong pipeline of opportunities in Europe.”

Source: propertyfundsworld.com on 1 December (https://www.propertyfundsworld.com/2020/12/01/292929/pgim-real-estate-grows-european-debt-portfolio-logistics-and-last-mile)