MUNICH—Allianz Real Estate has taken a €365-million participation in Aareal Bank's €630-million financing for NorthStar Realty Finance Corp. The loan, which partly financed NorthStar's acquisition of 11 class A office properties, is one of the largest syndications between banks and institutional investors in Europe, as well as one of the largest financings provided by a German insurance company in this market to date.

GlobeSt.com reported this past December that New York City-based NorthStar paid €1.1 billion, or approximately US$1.34 billion, to acquire the two-million-square-foot portfolio across seven gateway markets, including Condor House and Portman Square House in London. The acquisition, in partnership with Cale Street Partners, closed this past April.

The syndication also marks the first time that Allianz has financed a cross-border, pan-European portfolio with tranches in various currencies.“Investing into this high-volume, Pan-European facility is in line with the growth and diversification strategy of European Allianz companies in the property sector,” says Roland Fuchs, head of European real estate for Allianz Real Estate.

"This syndication is another milestone in Aareal Bank's cooperation with leading insurance companies such as Allianz,” says Christian Schmid, managing director, business and syndication management at Aareal. “At the same time, it reflects our aim to win over institutional investors as syndicate partners, alongside banks.”