Superannuation fund Prime Super has provided a $25.5 million mezzanine debt facility to the Australian Technology Park (APT).
The loan is secured against a commercial office building on 8 Central Avenue, Eveleigh, in the inner-city Sydney business, technology and entertainment precinct.
Tenants of the building include the production studios of Channel Seven and Global TV, along with Pacific Magazines and a number of governmental tenancies such as the Department of Education and the Cancer Institute.
The terms of the loan are confidential, but the facility runs over several years.
"Prime Super is pleased to have the opportunity to provide this mezzanine finance facility," Prime Super chief executive Lachlan Baird said.
"It is another quality asset that will assist in delivering strong long-term returns to members and is a great addition to the Prime portfolio."
Prime Super's asset consultant, Access Capital Advisers, negotiated the transaction for the super fund.
"Access continues to see a broad range of debt investment opportunities and we expect Australian superannuation funds to, over time, increase their interest in providing financing capital for the Australian property sector," Access partner Kui Ng said.
Super funds have taken a more prominent role in providing property loans, as banks are still faced with high funding costs and have been reducing their loan books to the real estate sector.
In April, UniSuper entered into a $250 million commercial mortgage-backed security issue with the Charter Hall REIT.
The mezzanine loan to APT is Prime Super's first property loan transaction.
