ING and LBBW finance logistics real estate portfolio for KGG

Frankfurt am Main – Landesbank Baden-Württemberg (LBBW) and ING Wholesale Banking have refinanced a portfolio of six logistics buildings in Bremen, Mönchengladbach, Nuremberg, and Pforzheim for KGG, a partnership between Malaysian retirement fund the Employees Provident Fund and the logistics specialist Goodman. Both banks each provides half of the EUR 136 million in financing.

The modern properties, built between 2006 and 2014, are managed by Goodman and are leased to well-known companies on a long-term basis.
 

In addition to financing core properties in the 'Big 7' cities and residential buildings, our focus in Germany is on modern logistics properties. We are delighted to have once again been able to support Goodman, one of the main players in this type of use, with financing and our know-how. Thanks to the respectable cooperation with LBBW, we were able to successfully conclude this transaction.

- says Daniel Younis, Head of Origination of ING in Germany.
 

Patrick Walcher, Head of Real Estate at LBBW, says: 

The financed properties are modern logistics properties in very good locations with well-known tenants. In close dialogue with the client, we have been able to develop a tailor-made long-term financing arrangement together with ING. It is a typical example of the large-volume portfolio financing of logistics properties, one of our focus areas in commercial real estate financing.

KGG was legally advised by Allen & Overy. The banks were legally advised by Ashurst.

ING Wholesale Banking Germany comprises the corporate clients business of ING-DiBa AG and is part of the ING Group’s worldwide Wholesale Banking network with offices in more than 40 countries. ING Wholesale Banking offers banking services for large, internationally operating corporate clients. In addition to traditional banking products such as Corporate Lending and Transaction Services, ING is a world leading name in structured & project financing concepts, complemented by capital market solutions. ING Wholesale Banking Germany has approximately 300 employees based in the headquarters Frankfurt am Main who were in charge of a credit volume of EUR 36 billion by the end of 2018. 

Landesbank Baden-Württemberg (LBBW) is both a medium-sized universal bank and central bank for savings banks in Baden-Württemberg, Saxony and Rhineland-Palatinate. With total assets of EUR 238 billion and around 10,000 employees (as of 31/12/2017), LBBW is one of the largest banks in Germany. Its core activities are the business with corporate customers, in particular small and medium-sized enterprises, and the private customer business, as well as savings banks. A further focus is placed on real estate and development financing, as well as client-focused capital market business with banks, savings banks and institutional investors.