Primonial Luxembourg has refinanced a German healthcare property to the tune of €400 million, with Austrian Raiffeisen Bank International (RBI) is providing the new debt for the so-called “Panacea” portfolio.
The Panacea portfolio comprises 67 separate assets, mainly retirement and care homes with a total capacity of around 8,500 beds in various locations in Germany, including Krefeld, Hamburg and Dortmund. The portfolio was acquired in 2016 for €994m, making it one of the biggest deals of that year. The new loan is for six years on “advantageous” conditions, Primonial said in a statement.
The deal also serves to expand its panel of banking partners in Europe, the firm said. At the time it bought the portfolio, Primonial financed the deal via a consortium of banks led by Société Générale, and that financing is now being replaced by the deal with RBI. The second-biggest Austrian bank has ambitions to finance more German healthcare deals, and this deal comes on top of an earlier financing this year of €160m for a portfolio of CURA Unternehmensgruppe.
The French wealth and asset management Primonial Group, which claims to be the European leader in healthcare and education real estate with more than €8 billion in assets under management in the sector, says that it has first-class knowledge of these sectors and their dynamics.
Primonial’s deputy managing director in charge of real estate Laurent Fléchet said that in the context of the current health and economic crisis, the refinancing demonstrates the confidence of banks in its model. “It reinforces our investment choices in real estate sectors with high social utility and encourages us to expand our relations with banking partners in Europe who are most able to finance sustainable and responsible projects.”
