HSBC has appointed BlackRock’s managing director of real estate Steve Willingham as its new head of European real estate finance.
Willingham, who has almost 20 years’ real estate finance experience, will report to the bank’s global real estate finance boss Matthew Webster in the global and banking markets division.
It is understood the appointment is to put in place a “more regular structure” at the bank in line with its competitors and make sure HSBC has the resources needed in an increasingly competitive lending market.
Willingham will be overseeing the bank’s $31.3bn (£18.6bn) European commercial real estate loan book, with Webster responsible for all CRE financing activities on its
$74bn global loan book.
In its full-year results to 31 December 2013, HSBC said it has $22bn of commercial real estate loans in the UK of which $7bn were due to be refinanced in the next 12 months.
HSBC has been a consistent UK real estate lender throughout the downturn and recovery and also participates in acquisition finance (see box), resulting in a balanced loan book.
Willingham joined BlackRock in October last year when the firm bought fund manager MGPA, where he had been CFO for five years. Prior to that he spent six years as a managing director in real estate structured finance and securitisation at Merrill Lynch and 13 years as head of structured property finance at Nationwide.
All parties declined to comment.
Major UK deals by HSBC
April 2014 £50m, five-year revolving credit facility to Primary Health Properties priced at 200-250bps
April 2014 Participated in SEGRO’s eight-strong, £186m revolving, five-year syndicated bank facility at 125bps margin
March 2014 participated in Capital & Counties six-strong, £665m, unsecured, five-year facility
October 2013 participated in Derwent London’s four-strong, £550m, five-year unsecured bank facility at 160bps over LIBOR at 50% gearing
November 2012 £30.4m, five-year loan to Crosstree Real Estate Partners and Helical Bar for £60.8m Old Street purchase
October 2012 50% of a post-acquisition five-year senior loan with Deutsche Hypothekenbank to Crosstree Real Estate Partners
Bridget.O’Connell@estatesgazette.com
