City Property Glasgow has secured £195m in debt finance from Pension Insurance Corporation.
The council’s wholly-owned development agency will use the proceeds to help the council fund its recently settled £500m equal pay settlement.
The 29-year amortising loan is secured on a portfolio of five properties, including the Royal Concert Hall, the Riverside Museum and various sports and leisure facilities.
Allen Twyning, head of debt origination at PIC, said the transaction represented “a good diversifier for PIC”.
He said: “These investments are a good fit for our long-term liabilities, and at the same time have a wider benefit for society.”
City Property Glasgow’s portfolio consists of 2,500 commercial assets, including 19 industrial estates, hundreds of shops and business space.
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