by Property Forum | Retail

GTC’s Polish flagship retail project was officially granted an investment loan facility in the maximum amount of up to €200 million. Under the original agreement, Bank Pekao S.A. granted a construction loan facility of up to €116 million.


Galeria Północna was completed on budget and attracted nearly 2 million visitors in the first two months after opening. The refinancing of the 64,600 sqm mall will provide GTC with substantial cash to accelerate further growth with no need to raise new equity.
 
“We are pleased to announce this loan refinancing with Bank Pekao S.A., a leading financing partner of GTC,” commented Erez Boniel, GTC’s Chief Financial Officer. “Following the successful completion of Galeria Północna, this new debt facility further strengthens our funding sources and reduces our cost of funds, as we continue to drive growth in Poland and CEE & SEE capital cities, whilst reinforcing higher FFO and improved FFO yields”, he added.
 
Galeria Północna is the first major modern shopping and entertainment center located in Warsaw’s Białołęka district. The investment was completed within 25 months after obtaining the construction permit.