Renewable energy group Gaelectric has completed the purchase of Cloghboola Wind Farm in Co Kerry for €60m.

Cloghboola commenced operations last year and comprises 16 Enercon E-82 E4 turbines - each rated to generate 3MW of power - which is sufficient to meet electricity demand of almost 30,000 households.

Gaelectric said the acquisition brings its onshore portfolio of operating wind farms in Ireland towards the halfway point of its 2017 goal of 400MW of generating wind assets by 2017.

The transaction was funded by utilising a hybrid project financing structure arranged through German commercial bank Nord/LB, which gives Gaelectric access to an extended term out to 19.5 years and involves participation for the first time from institutional funds.

Gaelectric Chief Operating Officer Barry Gavin said: “The nature and stable returns characteristic of wind investments make them an ideal asset class for institutional and pension investment.

“We expect to see this source of funding develop further in the future.”

Total debt for the project is €60m and splits into a 19.5-year-long fixed-rate note and a shorter 9.5-year term loan including a credit enhancement facility to allow institutional investors to come into the financing.