'Bukcheonan Logistics Center' 270 Billion PF Deal Completed

Published 25 Jan.2021 14:19(KST)

Updated 20 Jul.2023 13:51(KST)

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[Asia Economy Reporter Lim Jeong-su] Project financing (PF) worth 270 billion KRW for the large-scale logistics center development in Bukcheonan, constructed by Daelim Industrial, has been successfully secured.

On the 25th, according to the investment banking (IB) industry, Goodwill Company raised a total of 270 billion KRW in PF loans from two special purpose companies (SPCs) established under the management of KB Securities and others. Goodwill Company is the project operator established for the development of the Bukcheonan logistics center.

The company is the project owner of the Bukcheonan logistics center development project located at San 22-1, Omok-ri, Seonggeo-eup, Seobuk-gu, Cheonan-si. The two SPCs, which are the loan entities, entrusted the land and real estate to Mugunghwa Trust and were created to acquire the priority beneficiary rights issued.

The PF loans were executed in three tranches according to collateral rights and repayment priority: Tranche A of 190 billion KRW, Tranche B of 57 billion KRW, and Tranche C of 23 billion KRW. Each tranche loan was equally divided between the two SPCs, which also share the principal and interest repayment responsibilities in the same proportion.

Goodwill Company will use the raised funds to build a large-scale complex logistics complex with one basement floor and four above-ground floors. The facility will include refrigerated and frozen warehouses for agricultural product storage, as well as advanced storage facilities for semiconductors, IT products, and more.

Daelim Co., Ltd., Daelim Construction Co., Ltd., and Geumseong Baekjo Housing Co., Ltd. jointly undertook the construction and provided a completion guarantee. The groundbreaking date was January of this year, with a construction period of approximately 24 months.

An IB industry official said, "As online shopping has become the new normal, demand for logistics center development has increased," adding, "Although logistics complexes generally have shorter master lease contract terms compared to offices, investment funds are heavily flowing into this sector."