Banks

Noteholders and lenders have voted to extend senior and mezzanine facilities, due to mature on 16 September, on seven office assets near the country’s two main cities

The five-year debt facility has been provided by three of the four lenders that provided a €900m loan against the Paris office complex in 2017.

German banks face huge uncertainty as the country’s real estate sector gradually resets. Private debt managers are aiming to capitalise on the disruption.

A syndicate of Spanish banks partially replaced the Spanish developer’s bond debt with a floating rate loan earlier this month.

As senior lending issuance remains muted, the German bank is seeking higher-yielding opportunities via a debt vehicle.

The loan, for Dundrum Town Centre, replaces an existing €570m facility due to mature in September.

The central bank says valuations should reflect the current market downturn and lack of transaction activity.

The £85m loan from NatWest will replace existing construction debt from Oaktree Capital Management.

The unsecured £50m facility will be used for the development of 25,000 new homes over the next 10 years.

The chief executive of the Frankfurt-headquartered bank said he has not seen the recovery in 2024 he had expected.