17 Mar 2014 07:00
17th March 2014
ICG-Longbow Senior Secured UK Property Debt Investments Limited (LBOW)
(the "Company")
New Loan Commitment
The Company has committed to its ninth transaction, a £10.00 million loan to Lanos (York) Limited (the "Facility"). The Facility, which has a maturity date of 31 December 2018, will be advanced on or before 21 March 2014.
The Facility is secured by a first and only charge on the Best Western York Monkbar Hotel, which is located close to the city centre of York. The established mid-market 99 bed hotel benefits from a stabilised income profile and offers the potential to grow income and value through a planned refurbishment and 27 bedroom extension, which is to be funded through a ring-fenced element of the Facility.
The completion of this loan increases the total investments made to date by the Company to £97.255 million, representing 94.9% of available capital. The Company's loan portfolio now produces an average coupon of 7.3% pa(1), with a projected internal rate of return if held to maturity of 8.4% pa(1). The average Loan to Value exposure across all loans is 62.0%(1), with an average Interest Coverage Ratio of 160%(1) .
ICG-Longbow, the Company's investment manager, has also identified a potential 10th loan investment opportunity that the Company is currently considering. A further announcement will be made as appropriate.
The Company's loan portfolio security shows a geographical split (based on value of underlying property) of:
Greater London: | 38.6% |
Midlands: | 20.0% |
North West: | 15.9% |
Yorks & Humber: | 10.3% |
Scotland: | 5.7% |
East: | 4.3% |
South East: | 3.7% |
South West: | 1.5% |
The Company's loan portfolio split by property sector is:
Retail: | 18.6% |
Industrial/ Distribution: | 30.2% |
Other (student accommodation): | 18.6% |
Other (Hotels): | 10.3% |
Mixed: | 21.0% |
Office: | 1.3% |
(1) All averages calculated on a capital weighted basis
For further information, please contact:
Heritage International Fund Managers Limited: | |
Mark Huntley James Christie | +44 (0)14 8171 6000 |
Investec Bank plc: | |
Jeremy Ellis | +44 (0)20 7597 4000 |
David Anderson | |
Maitland Consultancy Limited: | |
Rebecca Mitchell | +44 (0)20 7379 5151
|
Further information on the Company can be found on its website at http://www.lbow.co.uk.
Icg-longbow (LBOW)