Aviva Investors, the global asset management business of Aviva plc (‘Aviva’), has announced that it has completed provision of a £38.5 million refinancing facility to Grammont Group (‘Grammont’), a family-run property investment and development business operating in the UK industrial and residential sectors.
The five-year interest-only loan has been provided at a fixed rate on behalf of external client mandates managed by Aviva Investors.
It will be used by Grammont to refinance its commercial property portfolio, a highly-diversified collection of assets comprising 77 light industrial assets across the UK multi-let to over 100 tenants, including a number of ground rent positions.
Gregor Bamert, Head of Real Estate Debt at Aviva Investors, said:
“Grammont Group has demonstrated strong asset management credentials in a fundamentally sound sector, and we are very happy to start a lending relationship with the business, whilst also providing a break optionality tailored to Grammont’s business strategy. This is further example of our firm commitment to the lending market, where we believe opportunities still exist to deliver long-term value to our investor clients.”
Nick Uzel, Managing Director at Grammont Group, said:
“We are very excited to have obtained this new loan from Aviva and about building a strong relationship with them as they support us in the next phase of our strategic growth plan.”
The transaction was introduced by CAPRA’s debt advisory team.
Luca Giangolini, Head of Debt Advisory at CAPRA, added:
“We enjoyed working with Grammont Group on this refinance and are delighted we were able to structure a loan with Aviva that provided the borrower with the right blend of loan proceeds, pricing and management flexibility going forward.”