Cadillac Fairview Corporation Completes C$141 Million of Financings.TORONTO--(BUSINESS WIRE)--Aug. 26, 1998--Cadillac Fairview Co(TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :CDF (1) (Central Distribution Frame) A connecting unit (typically a hub) that acts as a central distribution point to all the nodes in a zone or domain. See MDF. .) (NYSE NYSE See: New York Stock Exchange :CDF) Cadillac Fairview The Cadillac Fairview Corporation is a development corporation which is a wholly owned subsidiary of the Ontario Teachers' Pension Plan. Cadillac Fairview owns, develops and manages property, malls and large office and retail spaces, mostly in Canada and the United States. Corporation announced today that it has completed financings of C$141 million in long term debt secured by two of its Ontario retail shopping centres. Cadillac Fairview and Erin Mills Development Corporation issued C$110 million 7.03 percent first mortgage bonds due 2013 and secured by Erin Mills Town Centre The Erin Mills Town Centre is a shopping mall located in the Erin Mills portion of Mississauga, Ontario Canada, at the corner of Erin Mills Parkway and Eglinton Avenue West. The mall is owned and managed by Cadillac Fairview. It opened in 1990. on a non-recourse basis. Cadillac Fairview also issued C$86 million 6.75 percent first mortgage bonds due 2008 and secured by Masonville Place Masonville Place (known locally simply as Masonville) is a major shopping mall in north London, Ontario. It is located at the southeast corner of Fanshawe Park Road and Richmond Street. . Cadillac Fairview's share of the proceeds will be used to retire existing financing of C$99 million raising funds of C$30 million after prepayment costs. In connection with these refinancings, Cadillac Fairview will incur total charges for early extinguishment of long term debt of C$12 million. Erin Mills Town Centre, is a 765,000 square foot super-regional shopping centre in Mississauga, Ontario. The centre is anchored by The Bay, Eaton's and Sears and has 197 specialty stores which produce average sales per square foot of C$400. Masonville Place, a 653,000 square foot regional shopping centre in London, Ontario, is anchored by Eaton's, Sears and Zellers and has 190 specialty stores which produce average sales per square foot of C$424. "As part of our ongoing strategy to lower our cost of capital and strengthen our capital structure, we sought the opportunity to refinance this debt and secure additional proceeds at the same time to fund other capital requirements Capital requirements Financing required for the operation of a business, composed of long-term and working capital plus fixed assets. of our business. These financings will produce annual interest savings of approximately C$2.4 million or C$0.03 per share which is very attractive to us", said Jon Hagan, Executive Vice-President and Chief Financial Officer. "These two transactions bring our total 1998 financing activity to nearly C$1 billion including refinancings of C$600 million." Cadillac Fairview is one of the largest owners, managers and developers of commercial real estate in North America, focusing on high quality retail centres in Canada and the U.S., and office properties in major Canadian cities. It owns interests in or manages 105 properties amounting to over 50 million square feet, including some of Canada's landmark properties such as the Toronto Eaton Centre The Toronto Eaton Centre is a large shopping mall and office complex in downtown Toronto, Ontario Canada, named after the now-defunct Eaton's department store chain. In terms of the number of visitors, the shopping mall is Toronto's top tourist attraction. and Toronto-Dominion Centre in Toronto, Pacific Centre in Vancouver and Montreal Eaton Centre in Montreal.
CONTACT: Cadillac Fairview Corporation
Jon N. Hagan, 416/598-8739
416/598-8254 (FAX)
E-Mail: haganj@cadillacfairview.com
http://www.cadillacfairview.com
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