The EBRD is considering the provision of a syndicated loan of up to USD 37.1 million to finance the construction, ownership and operation of an international standard logistics centre located in the town of Brovary, in the Kiev region. UVK, a leading Ukrainian logistics operator, will be the tenant of the facility.
With the development of a large international standard logistics centre, the Project will help address the current undersupply of modern warehouse space in Ukraine. The centre will have a Gross Leasable Area of around 49,200 m2.
The Project transition impact will derive from the following key areas:
(i) Promoting competition in the Ukrainian logistics sector though the delivery of a significant amount of modern logistics space to the market, which will contribute substantially towards meeting the unsatisfied demand from local and international logistics operators.
(ii) Upstream and downstream linkages as by supporting the expansion of a leading local logistics operator the project will benefit a number of large and smaller product suppliers and retailers using professional logistics services.
(iii) Improvement of modern business standards through transparent procurement of land for the project, tendering of all the major contracts, adopting efficient international standard construction practices (including environmental, health and safety standards).
(iv) The Bank’s involvement will also assist in mobilising long-term debt funding for the project.
The client:
The client/borrower is a Special Purpose Company (SPC) incorporated in Ukraine, owning and operating the logistics centre. The borrower is a subsidiary of AISI Reality Public Limited, a Cyprus registered property fund listed on the AIM market operated by the London Stock Exchange.
EBRD finance:
EBRD will provide a senior loan of up to USD 37.1 million, of which at least USD 18.55 million will be syndicated to participant institutions under an A/B loan structure.
Total project cost:
Total project costs amount to USD 53.0 million. |
