Tritax Big Box REIT has agreed an additional £50m term loan with Wells Fargo which brings the aggregate facility to £550m.
The deal follows the £500m secured debt facility agreed with a syndicate of four lenders in October 2015. Wells Fargo is one of the existing syndicate lenders. The new loan has been agreed on the same terms as the original facility and will expire at the same time, in October 2020. Subject to lender support, the company has a 12-month extension option available on the enlarged loan, which is exercisable in October 2017. The group has until 28 February 2017 to fully utilise the additional term loan.
The group has a current weighted average all-in cost of borrowing of 1.89% and a weighted average capped cost of borrowing of 2.82%. 99.7% of drawn debt is subject to hedging arrangements. The group’s current loan to value ratio is approximately 31% with a medium term target of 40%.
Tritax partner Colin Godfrey said the company will be “announcing further acquisitions in the near term.”
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