Two prime office buildings in Amsterdam. Acquired and refurbished with a €34.4 million bridge loan.
Our client has identified an opportunity: the acquisition of two unique, listed office buildings in the centre of Amsterdam. The assets were vacant on acquisition and had considerable value-add potential. PolarReal was engaged to find a funder that was willing to think along and accommodate the variable timeframe that the design, permitting process, construction duration and letting program would bring.
PolarReal successfully arranged a bridge loan which enabled our client to acquire the vacant buildings and implement their capex and letting programme as well as providing an interest funding line during the capex period. The loan was put in place for a period of 18 months with additional extension options. This gave our client the necessary flexibility required to implement their strategy of transforming over 6,000 m2 LFA listed space in the Netherlands’s main office market.
Flexible bridge loan
The loan was placed with a European debt fund who shared our client’s view on the assets and was able to recognise the value in the unique locations and buildings. The flexible extension options built into the loan ensured that changes in the development timeline could be accommodated and a long-term refinancing could be put in place after capex was completed and a sufficient level of (pre)lettings had been contracted.
Vacant assets, full refurbishment, flexible timing
Large Dutch investment group
European Debt Fund