- Net Zero Properties Sarl dropped a planned €500 million ($574 million) junk bond sale after failing to convince investors with sweetened terms.
- Hybrid securities issued by landlords Aroundtown SA and CPI Property Group SA fell sharply this month.
- European real estate debt is showing strain from higher interest rates, reviving fears of 2023-style pain.
Quotes
“European real estate debt is starting to show the strain of higher interest rates, with a slump in riskier bonds and the rare cancellation of a new junk issue.”
“Meanwhile, hybrid securities issued by landlords such as Aroundtown SA and CPI Property Group SA have fallen sharply this month.”