M&G Investments (“M&G”), an international investment manager, has completed a deal to provide £70 million whole loan financing over 5 years for Rocket Investments’ (“Rocket”) 10 East Road, Central London.
Rocket, the private property advisory and investment management company, completed the development of the former print work office building in November 2011, which is now let to Premier Inn for 20 years.
Dan Riches, Director, Real Estate Finance, M&G Investments, says: “The property is in a desirable part of central London and has a secure income stream from the long-lease in place with Premier Inn.
“Institutional investors are interested in commercial mortgages as an attractive alternative to bonds as it offers a good relative value for secured risk. The entire whole loan will be invested and held by funds managed by M&G”.
Tom Appleton, Rocket Investments, says: “We are very pleased to be working with M&G who provided a smooth transaction and share our vision for this part of London. With further developments planned by ourselves and others we believe this area of London will continue to thrive”
M&G’s Real Estate Finance team has invested almost £6.5 billion in commercial mortgages in the UK and Europe and is one of the largest new lenders to emerge since the 2008 financial crisis.
The property is in a desirable part of central London and has a secure income stream from the long-lease in place with Premier Inn.
Dan Riches,
Director, Real Estate Finance