Barings has agreed two loans to KKR and Palm Capital in Ireland for a total of circa €225 million, marking Barings’ debut as a lender in Ireland’s logistics market.
One loan is a five-year €188.5 million senior secured, floating rate loan to finance the acquisition of a portfolio 73 properties primarily in Greater Dublin and Naas Enterprise Business Park. The portfolio is 97% let.
Barings has also agreed a €36.7 million floating rate, first mortgage loan, to fund the acquisition of a portfolio of six last mile, light industrial properties in Dublin. The loan has an initial three-year term, plus two one-year extension options, the debt is secured against a portfolio comprising a total area of 345,000 sq ft, which is 95% occupied.
Jose Garcia Cedrun, director of European real estate debt at Barings, said the Irish logistics market has “a favourable supply/demand imbalance underpinned by extremely low vacancy.”