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Prudential Mortgage Capital Company provides $48.6 million in financing for Hines' purchase of German logistics property

PRU

Prudential Mortgage Capital Company provided a $48.6 million commercial mortgage to support Hines Global REIT’s acquisition of an industrial warehouse property in Bavaria, Germany. Prudential Mortgage Capital Company is the commercial mortgage lending business of Prudential Financial, Inc. (NYSE:PRU).

The fixed-rate loan is secured by a 607,940 square-foot industrial property in Forchheim near Nuremburg, wholly leased to the 3rd party logistics provider Simon Hegele. Currently, 215,200 square-feet of space is under construction at the property and will be handed over to the tenant on completion. The loan is split into two tranches, the second of which will be drawn on completion of the warehouse under construction.

“Logistics is a preferred asset type of ours and the strong demand drivers for this property’s location, combined with the track record of Hines’ sponsorship, drove our interest here,” said David Gingell, a director of originations for Prudential Mortgage Capital Company.

Drew Abernethy, head of European originations for Prudential Mortgage Capital Company added, “This transaction marks Prudential Mortgage Capital Company’s third European financing with Hines Global REIT, demonstrating our increasing ability to respond to client requirements across multiple markets.”

In 2014, Prudential Mortgage Capital Company has up to $1.4 billion (€1 billion) available for long-term, fixed-rate senior debt transactions in Europe, with the ability to do significantly more than this. All European debt will be denominated in local currency and secured by income-producing real estate.

Prudential Mortgage Capital Company is primarily interested in office, industrial, multifamily and retail properties in and around large population centers in countries such as the UK, Netherlands and other major countries at the request of clients.

The firm also seeks opportunities to finance transactions in collaboration with local banks, especially on the European continent.

Prudential Mortgage Capital Company is a full-service, commercial and multifamily mortgage finance business with more than $79 billion in assets under management and administration as of March 31, 2014. Leveraging a 130-year history of real estate finance, the company offers one of the most comprehensive lines of real estate finance products and originates loans for Freddie Mac Targeted Affordable Housing programs, Fannie Mae DUS™, FHA, the insurance company’s general account; and other institutional investors. The company maintains a loan servicing portfolio of approximately $76.7 billion as of March 31, 2014. For more information, please visit http://www.prumortgagecapital.com.

Prudential Financial is a trade name used by Prudential Financial, Inc., a company incorporated and with its principal place of business in the United States, and its affiliates in select countries outside the United States. PFI (NYSE: PRU), a financial services leader with approximately $1.1 trillion of assets under management as of March 31, 2014, has operations in the United States, Asia, Europe, and Latin America. PFI’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds and investment management. In the U.S., the company’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit http://www.news.prudential.com/ . PFI of the United States is not affiliated in any manner with Prudential plc, a company incorporated in the United Kingdom.



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