PPHE seals loan refinancing

PPHE Hotel Group has refinanced a loan with Aareal Bank covering its six Dutch hotels. The deal extends the existing 2016 facility with the bank from an original maturity date of June 2026 until June 2031. The facility will comprise tranches in euros and pounds, a €160m (£134.8m) tranche and a £16m tranche. The euro tranche has an all-in fixed interest rate of 2.765% until June 2026, followed by 4.49% until maturity. The sterling tranche will bear an all-in fixed interest rate of 3.9% until June 2026, and then a competitive floating interest rate. That compares with an all-in fixed interest rate of 2.165% for the previous euro loan and 3.3% for the sterling loan. Daniel Kos, chief financial officer at PPHE, said: “The new facility… further confirms the group’s attractive and stable asset base in key city-centre locations, enabling the group to secure long term financing on attractive rates, particularly in current market conditions whilst also re-confirming the group’s EPRA NRV.”