Lucy Scott
The manager says there is ‘momentum’ behind its fundraising activities as it targets a €500m final close.
UK swap rates and eurozone rose ahead of the UK central bank’s announcement that it would hold rates at 3.75%.
The capital will enable the UK lender to offer more competitively priced loans to residential borrowers.
The financing tool is a ‘defining force’ in Europe’s real estate market, says Knight Frank Capital Advisory.
The chief executive of pbb Deutsche Pfandbriefbank said its US exit and a ‘sluggish’ recovery will continue to weigh on the lender.
Real estate lenders are finding multiple entry points to the sector, but competing with infrastructure capital requires a new approach to underwriting.
As banks and debt funds seek efficiency in a fragmented and fast-growing back leverage market, warehouse-style structures are becoming the preferred route.
The sector saw €4.25bn issued across four facilities from December to mid-February, according to our loans database.
A spike in the five-year swap rates in the UK and eurozone is likely to have a ‘material’ impact on the price of real estate debt.
The facility is secured by multiple assets owned by private group Lazari Investments.