BTG Pactual grants loan to Ricardo Palma Rentas S.A. for real estate project in Peru

Cuatrecasas has advised BTG Pactual S.A. (Cayman Branch) on the financing it granted, through a mid-term loan, to Ricardo Palma Rentas S.A., a company controlled by Fondo de Inversión Inmobiliario – CCLA Desarrollo y Rentas Urbanas.

The borrower is controlled by the first investment fund specializing in residential leasing owned by the CCLA Group, launched in 2019. BTG Pactual granted the financing to develop the “Ricardo Palma” real estate project in Lima, Peru, which involves building 242 residential units that will be leased through lease agreements and guaranteed with a guarantee trust and a cash flow trust.

The transaction was structured as a project finance agreement involving a strict security package covering all the assets and contracts related to the project in a collateral asset trust and a cash flow trust. 

This is the second loan that BTG Pactual has granted to a company of the CCLA Group. In February 2022, Cuatrecasas advised BTG Pactual on granting a medium-term loan to Inversiones Zoberph S.A.C. 

Cuatrecasas partner Kiomi Osorio explained that “this is an interesting transaction due to the project finance structure used to finance the project and also because it is shows that the movement in the building and development of real estate projects will help reactivate and revitalize the country’s economy.”

This transaction was led by Cuatrecasas lawyers in Lima Kiomi Osorio and Augusto Hostia.