Walker & Dunlop arrange €118m refinancing for Ghent office

Walker & Dunlop, Inc. has secured a €118.7 mln refinancing loan for Zuiderpoort, a large office complex located in Ghent, Belgium.

Zuiderpoort - Blue Colibri Capital

The transaction was handled by Walker & Dunlop EMEA Capital Markets, specifically by Claudio Sgobba, Jessica Bell, and Patrick Smith, on behalf of funds managed by Blue Colibri Capital. A syndicate of institutional banks provided the debt capital.
Zuiderpoort is a ten-story property comprising six buildings, offering approximately 63,000 m2 of rentable office space in a prime Ghent location. Since 2022, it has been revitalised from a conventional office building into a vibrant tenant community through an innovative "social" strategy, significantly improving tenant attraction and retention.
The refinancing addresses a multi-leased asset with a strong tenant base, notably the Belgian State (AA-rated), which accounts for 40% of the income through a stable 12-year lease. A portion of the funds will be allocated to installing an advanced HVAC system, making the building fossil-fuel-free. This move supports the sponsor's ESG objectives and enhances the asset's long-term value.
Zuiderpoort has already undergone a significant transformation into a highly sustainable, community-focused office campus. It boasts BREEAM Excellent and WELL Core Platinum certifications, achieved through substantial investments in energy efficiency, water management, and building systems. Improvements in mobility and accessibility include strong public transport links, extensive bicycle facilities, LED lighting, and EV charging stations. New leases are seeing 25-30% premiums compared to 2020-2021 rates. 
Sgobba, senior managing director at Walker & Dunlop, said: “The deal was completed through a successful six-bank consortium at 65% LTV and a highly competitive spread. This was an exceptional outcome in the European office financing market and a true outlier result achieved through significant effort. This offering is distinctive within the European office market, and we are proud to have been selected to help bring this transaction to completion.”
Alim Vandeweyer, partner at Blue Colibri Capital, added: “When we visited the property five years ago, we immediately saw the significant potential to create a truly different office experience that would offer a unique value proposition for tenants while proving that existing buildings can be brought to the highest levels of environmental performance. The Ghent office market, as we believed initially, has continued to show tremendous growth, which is expected to continue, with a significant demand coming from the Tech industry. W&D has been instrumental in the successful outcome of this refinancing, and the quality and dedication shown by the whole team was highly appreciated.”