Financing of Grivalia Real Estate Investment Company (REIC) by the International Finance Corporation

Financing of Grivalia Real Estate Investment Company (REIC) by the International Finance Corporation

Zepos & Yannopoulos acted as the Greek counsel to the IFC in relation to a €50 million facility to Grivalia REIC (former Eurobank Properties REIC, now a member of Canadian investor group Fairfax) a regulated real estate investment company listed on the ATHEX.  The loan is secured by mortgages on properties owned by the borrower. In the context of our mandate, we reviewed and commented on financing documentation, advised on Greek REIC legislation and issued the transaction legal opinion. We performed due diligence on the borrower, including due diligence on real assets comprising of 5 building units divided into 183 distinct properties. We catered for the perfection of the security interests over such properties.

This is the first time the IFC has invested in a Greek corporate for their domestic operations, after having successfully participated in the recapitalisation of the four Greek systemic banks late in 2015. In May 2015, at the request of the Greek government, IFC’s Board endorsed a selective and temporary IFC reengagement in Greece. IFC has publicly announced that it is considering investment opportunities in Greece across different sectors, with the intention of restoring investor confidence and acting as a catalyst to mobilise other investors.
 
Leading lawyers: 
Christina Papanikolopoulou assisted by Elena Papachristou, Kely Pesketzi and Mary Nigritinou. Sonia Melegou and Mary Georgiou were involved on the real estate due diligence side.