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NEW YORK CITY-Locally-based W.P. Carey & Co. LLC has provided $445 million of financing to Hellweg Die Profi-Baumarkte GmbH & Co. KG, a German retailer. The capital is the largest financing the firm has ever provided during its 30 years of existence.

According to W.P. Carey executives, the “Long-term financing was provided by W. P. Carey’s CPA REIT series of managed funds through a partial purchase of Hellweg’s real estate subsidiary, Hellweg Vermogensverwaltung KG, and a loan collateralized by 37 operating sites.” The properties are all located in Germany and total 3.2 million sf.

“W. P. Carey was extremely accommodating to our needs from the start so we knew they would work with us to develop and provide the kind of highly complex financing structures we required for our follow-on deals,” says Hellweg owner Reinhold Seme, in a statement. “The capital generated from the two distinct transactions – a share sale in our property company and a loan – has helped create a solid balance sheet for Hellweg’s foreseeable future. We are very pleased with the result and are looking forward to working with W. P. Carey in the years to come.”

The financing follows on the heels of a 2005 in which W.P. Carey completed a $154 million sale-leaseback of several of the German company’s properties. “Since the completion of the first transaction, Hellweg recognized the value of our long-term investment philosophy and was interested in working with us again,” says W.P. Carey COO Jan Karst. “This is truly a testament to W. P. Carey’s partnership approach to client relationships.”

According to W.P. Carey officials, this complex German transaction could be the beginning of similar European transactions. “We hope to be able to replicate the success we’ve had with Hellweg with companies throughout Europe, Asia, and around the globe,” says president of W. P. Carey International, Edward LaPuma. “And, in a market where companies are forced to be more creative, our ability to close ‘outside the box’ transactions as well as more traditional structures benefits our clients and sets us apart from our competition.”

Hellweg manages 72 locations in Germany as well as seven in Austria.

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