Funds advised by European investment fund advisor, DRC Savills Investment Management LLP (DRC Savills IM), financed a portfolio of 21 supermarket assets owned by Blackbrook Capital (Blackbrook). Blackbrook were advised by the EMEA Cushman & Wakefield Debt and Structured Finance (C&W) team on the financing.
The portfolio is subject to long-term triple net leases to Eroski, the 4th largest grocery retailer by turnover in Spain, and the dominant operator in the Basque region of Northern Spain and the Balearic Islands (portfolio only located in these areas).
The supermarkets are located in urban locations with a captive consumer base from local neighbourhoods and support both convenience and local e-commerce distribution needs.
DRC Savills IM provided the capital for this facility from its European Real Estate Senior Debt (ERESD) fund series. The ERESD funds provide Senior Finance (from €15m – €150m) across the UK and Western Europe up to 65% LTV.
DRC Savills IM were legally advised in the transaction by Paul Hastings LLP (UK) and Cuatrecasas Gonçalves Pereira, S.L.P.(Spain). Commercial advice was provided by Mount Street Mortgage Servicing Limited, Jones Lang LaSalle, Situs Asset Management, and Watson Laurie.
C&W Debt and Structured Finance acted on behalf of Blackbrook in the debt arranging, linking them to DRC Savills IM and overseeing the financing process.