Unibail-Rodamco-Westfield has refinanced its Stratford City Finance No.2 PLC CMBS as a new fixed-rate bond, with a record low coupon for a GBP benchmark issuance in property.
The shopping centre landlord said it had priced the single tranche £750m bond with a seven-year maturity and a 1.642% coupon, to refinance the existing CMBS maturing in 2019 with a 2.6925% fixed coupon.
URW said the new coupon was “the lowest ever for a GBP benchmark issuance in the real estate sector”, in a solid signal of confidence in the retail asset.
It also stated that strong demand has resulted in a total order book “in excess of £2.3bn”.
URW has a 50% stake in the Westfield Stratford City joint venture with Dutch pension fund APG and Canadian pension fund CPPIB, and also manages the asset.
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