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Empiric Agrees New Loan Facility

Posted by Richard Ward in

Image courtesy of Flickr, Creative Commons

Empiric Student Property plc has announced the company has agreed a new unsecured term loan facility of £10 million with First Commercial Bank Limited.

The funds are available to be drawn down over the next 12 months and will be repayable three years from the date of agreement, with an all-in cost of 2.15% per annum.

The facility can be used for general corporate purposes including the financing of the purchase of properties by any Group company to be operated as student accommodation, or in refinancing the costs of acquisition of such properties.

Commenting on the Facility, First Commercial Bank said: "Empiric has established itself as a leading investor in the highly attractive UK student accommodation market. First Commercial Bank is pleased to provide support for their future growth plans."

Meanwhile, Chief Executive of Empiric Student Property plc, Paul Hadaway, said: "This is the first unsecured loan we have secured at the PLC level which reflects the maturity of the business. The new facility provides the Company with additional flexibility in financing future acquisitions, within our target loan-to-value parameters. This is a new debt funding relationship and we look forward to working with First Commercial Bank in the future."