CBL & ASSOCIATES PROPERTIES, INC. SECURES PERMANENT FINANCING FOR HAMILTON PLACE AND WESTGATE MALL.CHATTANOOGA, Tenn.--(BUSINESS WIRE)--March 24, 1997--CBL & Associates Properties, Inc. (NYSE NYSE See: New York Stock Exchange :CBL Cbl cobalamin. ) today announced that it has recently closed long-term, fixed-rate loans Fixed-rate loan A loan whose rate is fixed for the life of the loan. totaling $127 million on two of its regional malls. A ten-year loan in the amount of $75 million and an interest rate of 7% is secured by Hamilton Place in Chattanooga. A $52 million loan with an interest rate of 6.95% and a five-year term is secured by Westgate Mall Westgate Mall is the name of several shopping centers:
The proceeds from these two loans were used to refinance Refinance 1. When a business or person revises their payment schedule for repaying debt. 2. Replacing an older loan with a new loan offering better terms. Notes: When a business refinances they typically extend the maturity date. existing fixed-rate debt on Hamilton Place at a lower interest rate, eliminate the floating-rate debt on Westgate Mall, pay off fixed-rate debt on Hamilton Crossing in Chattanooga, and reduce outstanding amounts on CBL's lines of credit. Charles B. Lebovitz, CBL's chairman, president and chief executive officer, commented, "We have been very active in reducing variable-rate debt exposure from $192.5 million at December 31, 1996, to $100.7 million today. We have also capitalized on favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. borrowing rates to convert higher interest rate debt into lower interest rates. After adjusting for these two loans with Principal Life, the weighted-average interest rate on total mortgage debt outstanding has dropped from 8.04% at December 31, 1996 to 7.85%." CBL & Associates Properties, Inc. is a real estate investment trust which owns regional malls and community shopping centers shopping center, a concentration of retail, service, and entertainment enterprises designed to serve the surrounding region. The modern shopping center differs from its antecedents—bazaars and marketplaces—in that the shops are usually amalgamated into , primarily in the Southeast and select markets in the northeastern United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . The Company has a portfolio of 111 properties totaling 20.8 million square feet (including three new centers opened in March as indicated below), manages an additional 2.6 million square feet of non-owned shopping centers, and presently has under construction and opening this year nine new shopping centers totaling 3.1 million square feet, including one mall, two power centers, two associated centers and four community centers. -0- NEW SHOPPING CENTERS OPENING IN 1997 Center Location Square Footage Hannaford Food & Drug(a) Richmond, VA 62,500 The Terrace(a) Chattanooga, TN 156,923 Massard Crossing(a) Fort Smith, AR 290,717 Salem Crossing Virginia Beach, VA 289,182 Springhurst Towne Center Louisville, KY 808,159 Bonita Lakes Mall Meridian, MS 630,670 Bonita Lakes Crossing Meridian, MS 67,500 Cortlandt Town Center Cortlandt, NY 769,211 Strawbridge Marketplace Virginia Beach, VA 43,570 (a) Open 3,118,432 Total CONTACT: CBL & Associates Properties Inc., Chattanooga John N. Foy, 423/855-0001 |
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