SEGRO has issued a €500m senior unsecured bond on behalf of its SEGRO European Logistics Partnership (SELP) joint venture.
The bonds have a seven-year term and have been priced at 138 basis points above euro mid-swaps, equating to an annual coupon of 3.75%.
SEGRO said the bond issue was more than eight times covered at its peak and that the proceeds of the issuance would principally be used to refinance existing debt.
SELP was created in October 2013 as a 50:50 joint venture between SEGRO and Public Sector Pension Investment Board – the Canadian pension fund.
The joint venture owns approximately 5.8m sq m of big box warehouses in addition to development land across seven continental European countries. At 31 December 2023, the portfolio was valued at €6.7bn and generated €342m of annualised headline rent.
SEGRO acts as asset, property and development manager for SELP.
