UK real estate investor Delancey has joined banking group Berlin Hyp to provide a £241m (€276.6m) refinancing of HIG Realty's St James's office redevelopment.
IPE Real Assets understands that Delancey provided a £30m junior loan to refinance the 20 Carlton House Terrace office scheme in London, with Berlin Hyp acting as senior lender.
The refinancing replaces the original development loan, following the completion of the redevelopment in April 2025, and letting of the 189,000sqft property.
The latest financing partnership is the second between Delancey and Berlin Hyp, following their collaboration on the refinancing of 280 Bishopsgate.
Last month Delancey and challenger B2B bank Cynergy formed a partnership to target approximately £1.5bn in property-related debt transactions over the next three years.
Martin Farinola, head of real estate debt strategies at Delancey, said: "This landmark refinancing underscores the momentum of our expanding private credit platform, as we partner with Berlin Hyp/LBBW for a second time to support a best-in-class redevelopment backed by a top-tier sponsor in HIG.
"Across our debt and equity strategies, we're deploying capital into exceptional opportunities where the demand-supply imbalance is driving powerful rental growth in the central London office market."
Craig Prosser, managing director, head of real estate finance UK at Berlin Hyp said: "We are excited to refinance this high-quality redevelopment, as we continue to have high conviction in the prime central London office market. The project constitutes a prime example of sustainable and future-ready real estate, qualities which we are seeking.
"By engaging in this project, we are reinforcing our position as a leader in driving growth and delivering exceptional opportunities in this dynamic market."
Chris Zlatarev, managing director, HIG Realty in Europe, said: "We are delighted to partner with Berlin Hyp and Delancey in the refinancing of 20 Carlton House Terrace, a best-in-class, super-prime St. James, London redevelopment as demonstrated by substantially pre-letting the building prior to completion."