Instone Group closes €47.5m loan deal

German residential developer Instone Group has secured a new syndicated term loan agreement for €47.5 mln.

David Dreyfus

This loan, arranged by IKB Deutsche Industriebank AG, has a three-year term with options to extend it for two additional one-year periods, and can be increased to €60 mln during its lifespan.
The purpose of this additional financing is to support Instone Group's continued corporate growth and enable the acquisition of attractive land plots. This strategic move allows the company to secure projects with high margins and returns in the current less competitive market.
David Dreyfus, CFO of Instone Real Estate Group SE, stated: “The new term loan is an essential component of our corporate financing. As of 30 September, we had freely available cash and cash equivalents of €221.5 mln as well as unused revolving credit facilities of approximately €138 mln. This excellent level of liquidity is now being further strengthened by the new corporate financing of €47.5 mln.”