Allianz Real Estate has provided €400 million in sustainability-linked debt funding for the refinance of the Westfield Centro retail center in Oberhausen, Germany.
The funding, which was complemented with a €300 million facility from co-arranger and agent Helaba to bring the overall loan to €700 million, brings the total amount lent by Allianz Real Estate’s European Debt team in the first half of 2022 to €1.8 billion.
This is the firm’s highest first-half lending volume to date.
Located in the heart of North Rhine-Westphalia, with a catchment area of 3.5 million inhabitants within a 45-minute drive, Westfield Centro is one of the top shopping and leisure destinations in Germany. With more than 240,000 sqm, it is certified BREEAM In-Use Excellent.
Owned by Paris-based Unibail-Rodamco-Westfield (URW) and Canada Pension Plan Investment Board (CPP Investments), the center, which showed excellent resilience during the pandemic due to its market position, is the only Westfield-branded standing asset in Germany.
Allianz Real Estate has seen strong demand for debt funding in Europe across the first half of 2022. Deals include 90% of a €301 million refinancing facility to Intospace for six logistics assets in the Netherlands and £200 million (€232 million) to a consortium of four sponsors to support the development of 105 Victoria Street in London.
The funding for Westfield Centro is one of three retail sector deals closed in Q2 2022 alone, with the other two – one in the Netherlands and one in France – worth a combined €430 million. Overall, Allianz Real Estate has €11.7 billion in European debt AUM as of 31st March 2022.
Debora Sobel, Head of European Debt Origination – Munich, Allianz Real Estate, said: “The refinancing of Centro for URW, one of the leading players in European prime retail, and CPP Investments allows us to round off a strong first half of 2022 and demonstrates Allianz Real Estate’s leading position in European real estate debt. Our strategy is to work with our borrowers to help them optimize their capital structure, create long-term value and realize growth opportunities across all sectors.”