Goldman Sachs, BNP Paribas and Banco Santander have issued a €1.3bn (£956m) Spanish CMBS secured against 754 high street bank branches.
The Santander-occupied properties are valued at €1.8bn. They are owned by Uro Property Holding, which is a SOCIMI – a Spanish version of a REIT – and headed by former AEW Europe chief executive Simon Blaxland.
The CMBS is made up of two tranches secured against separate pools of assets. All the notes have a total loan-to-value ratio of 82.6% and have been rated BBB+ by Standard & Poor’s. Rental income from the portfolio is inflation-linked.
One tranche of €867.9m will mature in 2037 and has a coupon of 3.13%. The other €476.9m tranche will mature in 2039 and has a 3.75% coupon.
The portfolio’s assets are located in Madrid (36%), Catalonia (13%), Andalucia (9%), Castille and Leon (7%), Valencia (5%) and other regions (30%).
Deutsche Bank is also preparing an Iberian CMBS with loans secured against collateral in Spain and Portugal (30 May, p35).
The CMBS market is becoming an increasingly attractive exit for lenders in less competitive markets in Europe where traditional syndication is more difficult, such as Italy, the Netherlands and Ireland.
