Globe Trade Centre (GTC) and Unibail-Rodamco, the owners of Galeria Mokotów, announced today the finalization of a €205m refinancing loan agreement with a consortium of German banks for the leading Warsaw shopping mall. Net proceeds from the loan amount to €120m.
GTC and UR, each holding 50 percent of Galeria Mokotów, have secured one of the largest real estate financing loans in Central Eastern Europe with the consortium, which includes Berlin-Hannoversche Hypothekenbank and Westdeutsche Immobilienbank.
The loan term is five years, with the borrower’s prolongation option for an additional two years. The interest is based on three-month EURIBOR plus the margin of 2.25 percent.
Refinancing was based on the valuation of €378m for Galeria Mokotów, reflecting an initial loan-to-value ratio of 54 percent.
“GTC has capitalized on its long-established relations with the leading European banks, which combined with the excellent financial standing of both GTC and Unibail-Rodamco and prime quality of the asset…allowed [us] to secure such a large amount of financing despite difficult credit market conditions,” said Erez Boniel, GTC’s CFO, in a press release.