Warehouse REIT has completed the £300m refinancing of its existing term loan and revolving credit facility.
The margin of 1.75% is 45 basis points below the previous margin and delivers cost savings of £1.2m on an annualised basis.
The new facility comprises a £200m term loan and £100m RCF and replaces the company’s previous £320 million facility. The term is unchanged at three years and the company is working with its existing lenders HSBC, Bank of Ireland, NatWest and Santander.
Both the term loan and the RCF attract a margin of 1.75% plus SONIA for a loan to value below 40% or 2.05% if above. Existing covenants remain unchanged.
Peter Greenslade, from Tilstone Partners, Warehouse REIT’s investment adviser, said: “This new facility has been well supported by the company’s existing banking partners, and is on improved terms, demonstrating the strength of the company’s high quality, multi-let portfolio and the sub-sectors compelling investment fundamentals. It delivers annualised earnings per share savings of 0.3 pence, supporting the company’s objective of rebuilding dividend cover.”
