Aviva provides £200m green loan for healthcare REIT PHP

[Image: Hush Naidoo Jade Photography/Unsplash]

Aviva Investors is providing healthcare REIT Primary Health Properties with a £200 million sustainability-linked facility secured against 61 NHS Primary Care centres.

The 15-year facility refinances approximately £177 million in existing debt, also with Aviva Investors. The credit facility includes margin incentives which are conditional on sustainability-linked key performance indicators (KPIs) being achieved by PHP.

On meeting its goals PHP will receive margin reductions which will be reviewed annually over the duration of the loan.

The facility has been issued by Aviva Investors on behalf of Aviva’s UK Life business which specialises in bulk-purchase annuities, savings and retirement, and protection.

It is the latest investment by Aviva Investors as part of its sustainability-linked financing programme, which commits to originating £1 billion in climate transition real estate debt by 2025.

Aviva Investors’ head of real estate debt Gregor Bamert said that as well as furthering sustainability-focused investment activity the loan, “provides a key healthcare facilities provider with the capital that can ensure UK healthcare patients continue to benefit from modern and well-appointed facilities.”

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