Five U.S. institutional investors have agreed to provideCapital & Counties PropertiesPlc £175 million through a private placement of 10- and 12-yearsenior unsecured notes.

The financing was signed by Covent Garden Group HoldingsLtd., the holding company for Capital & Counties' properties inLondon.

The issue comprises a £125 million tranche of seniorunsecured notes with a fixed coupon of 2.28% due 2026 and £50 million in notesdue 2028 with a fixed coupon of 2.37%.

Closing is expected in November. Capital & Counties saidthat the new issue will have the same terms as its existing £150 millionprivate placement notes that were issued in December 2014.

Proceeds will be initially used to repay a December 2015bank facility of £705 million, the company said.