Canada Life Asset Management completes £129m real estate loan with Picton Property Income

Canada Life Asset Management today announces it has completed a £129m loan to subsidiaries of Picton Property Income, a UK listed real estate investment trust (REIT) on the London Stock Exchange. The lending is secured against a discrete portfolio of assets held within the listed REIT. 

The transaction incorporated a restructure of the company’s existing £80m facility with Canada Life Asset Management, with the loan being extended from July 2027 to July 2031 at a current interest rate, with additional coterminous debt of c. £49m. 

The property portfolio is well diversified, with income from over 170 leases and contains 25 individual freehold, and long leasehold assets, the majority located in London and the South East, with the largest property being Parkbury Industrial Estate at Radlett, Hertfordshire.

This transaction follows on from previous relationships between Picton and Canada Life Asset Management where an original loan of c. £114m was granted in 2012.

Commenting on the loan completion, Nicholas Bent, Head of Real Estate Finance at Canada Life Asset Management, said: “We are pleased to continue our long-term relationship with Picton Property Income with this significant transaction of £129m. To complete a transaction of this size and nature demonstrates Canada Life Asset Management’s ongoing appetite to provide substantial, long-term facilities to high-quality borrowers.”

Michael Morris, Chief Executive, Picton, said: “The completion of this transaction provides us with additional firepower for future growth. We look forward to continuing our ongoing relationship with the team at Canada Life Asset Management.”

Important information

The value of investments may fall as well as rise and investors may not get back the amount invested.

No guarantee, warranty or representation (express or implied) is given as to this document’s accuracy or completeness.

Canada Life Asset Management is the brand for investment management activities undertaken by Canada Life Asset Management Limited, Canada Life Limited and Canada Life European Real Estate Limited. Canada Life Asset Management Limited (no. 03846821), Canada Life Limited (no.00973271) and Canada Life European Real Estate Limited (no. 03846823) are all registered in England and the registered office for all three entities is Canada Life Place, Potters Bar, Hertfordshire EN6 5BA. Canada Life Asset Management Limited is authorised and regulated by the Financial Conduct Authority. Canada Life Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Please note that while Canada Life Asset Management and Canada Life Limited are regulated as stated above, property management and the provision of commercial mortgages are not regulated activities.