Property reit secures €100m credit line

Property investment company Hibernia Reit plc has entered into a € 100 million three year revolving credit facility with Bank of Ireland Corporate Banking, secured against a corporate level debenture.

The move brings Hibernia’s total debt facilities up to €134 million, while it also has cash and undrawn committed facilities of more than € 140 million.

At its agm in July, at which it disclosed that its portfolio was yielding 4.1 per cent, the company indicated that it was seeking to raise additional debt. To date the reit (real estate investment trust) has made nine acquisitions, primarily in the central Dublin office sector, totalling € 337 million.

Tom Edwards-Moss, chief financial officer of WK Nowlan Reit Management Limited, Hibernia’s investment manager, said that the credit line provides the reit with flexible funding at attractive rates with which to invest in and grow its portfolio.

“We remain committed to a conservative debt strategy, with our loan to value not exceeding 40 per cent at incurrence, well within the limits of the Irish reit regime,” he said.