The owner of a Paris office complex has received an extension to a €189M (£162M, $173.5M) green loan that was not repaid when it matured earlier this year.

A notice to investors that bought bonds in the River Green Finance 2020 securitisation says the maturity of the loan had been extended to at least April 2026 and could be extended for another year to April 2027.

The securitisation was the first green European CMBS deal.

The loan was originally issued by Goldman Sachs and is secured against River Quest, a 692K SF office campus in suburban Paris owned by London-based pan-European investor LRC.

The property was valued at €343M when the loan was underwritten and the securitisation undertaken. That figure has since fallen to €307M. In a report last month, Fitch warned that the value could fall much further, perhaps below €100M, due to expenditure needed and upcoming tenant exits.

The occupancy of the building is 96%, but one of the tenants is in negotiations to determine whether it will remain. Another is on a rolling short-term lease, an investor report for the CMBS says.

In exchange for the loan extension, the borrower has put up €10M that can be used for asset management or to repay debts, the notice to bondholders says.

The loan-to-value covenant on the debt has been waived, and the special servicer on the loan has agreed not to take the property before the new maturity date.