EIB’s €200 Million Loan To CTP To Finance Its Ambitious Solar Energy Roll-Out

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European renewable energy conglomerate CTP has announced that it has secured €200 million in financing from the European Investment Bank (EIB) for the roll-out of its large-scale programme of solar panel installation across its European business park portfolio. CTP is Europe’s largest listed developer, owner, and manager of industrial and logistics properties by gross lettable area (GLA).

CTP said that the 10-year unsecured loan will contribute to accelerating the energy transition, strengthen the security of power supply, and boost climate action and social and economic cohesion. It is part of the EIB’s dedicated contribution to REPowerEU, the plan designed to end Europe’s dependence on fossil-fuel imports, and has been offered at attractive terms, with an all-in fixed cost of 4.5%.

CTP, which has a portfolio of 10.9 million sqm (GLA) across the CEE, with a growing focus on Western Europe, in markets like Germany, Austria and the Netherlands, is targeting rapid growth in the generation of renewable energy across its portfolio and has established its own energy company to oversee an ambitious programme of solar PV installation.

Since 2020 CTP has ensured that all its industrial and logistics buildings are ‘solar ready’. The developer and operator targets a 15% YoC return on its solar investments and ended 2022 with 38MWp of installed PV capacity on roof space. It also targets to add an additional 100MWp during 2023.

The EIB financing will support medium-term goal of CTP of reaching 400MWp by 2026. Where onsite renewable energy is not currently available, CTP partners with energy suppliers to provide its clients with 100% renewable energy.

Richard Wilkinson, Group CFO, CTP, said, “The backing of the European Investment Bank is testament to the robust business strategy we have in place to deliver on the large-scale installation of solar PV across our portfolio, and allows us to obtain long-term unsecured financing at attractive conditions with all in cost of 4.5%.”

Also, the European Investment Bank’s financing will accelerate its plans to maximize the solar potential of the portfolio and help the firm meet its medium-term goal of installing 400MWp by 2026.