Cornerstone Properties Inc. Closes $550.0 Million Acquisition Line of Credit.NEW YORK--(BUSINESS WIRE)--Nov. 4, 1998--Cornerstone Properties Inc. (NYSE NYSE See: New York Stock Exchange : CPP cpp - C preprocessor. ), a real estate investment trust, announced that a syndicate of banks led by BT Alex. Brown, Chase Securities and NationsBank Montgomery Securities has closed a new, three-year, $550 million Acquisition Line of Credit. The new Line of Credit was agreed to on the same terms as the Company's previous $350 million Line of Credit with the floating interest rate spread maintained at 110 to 140 basis points over LIBOR LIBOR See: London Interbank Offered Rate LIBOR See London interbank offered rate (LIBOR). . Cornerstone will initially draw on the new facility to fund part of the $1.8 billion merger with William Wilson & Associates. John S. Moody, Chairman and Chief Executive Officer of Cornerstone Properties, said, "We are extremely pleased with the response of the bank market to Cornerstone's request for financing. In fact, our facility was oversubscribed Refers to connecting more users to a system than can be fully supported if all of them were using it at the same time. Networks and servers are almost always designed with some amount of oversubscription, counting on the fact that everybody does not need the service simultaneously. . This transaction gave us the opportunity to develop relationships with a number of additional banks, including several that had previously had relationships with William Wilson & Associates. We are particularly pleased to have secured the $200 million increase on the same terms as the previous facility. This underlines Cornerstone's ability to access capital in even the most difficult market conditions due to our focus on Class A office properties and the extremely high quality of our asset base." Cornerstone Properties Inc. is a self-administered equity real estate investment trust (REIT REIT See: Real Estate Investment Trust REIT See real estate investment trust (REIT). ) investing in Class A office properties in prime locations in major metropolitan areas and central business districts. The Company, through its subsidiaries, currently owns 21 Class A office properties throughout the United States totaling approximately 11.5 million square feet. Headquartered in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. , Cornerstone's stock is traded on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. under the ticker symbol Ticker Symbol An arrangement of characters (usually letters) representing a particular security listed on an exchange or otherwise traded publicly. When a company issues securities to the public marketplace, it selects an available ticker symbol for its securities which investors CPP. This press release contains forward-looking statements within the meaning of the Federal securities laws. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy, that could cause the actual results, performance or achievements of Cornerstone to differ materially from those reflected in such forward-looking statements. Information contained in this press release regarding current and future market conditions is based on Cornerstone's assessment of real estate markets as of this date and is subject to the uncertainties inherent in such an assessment. In particular, but not exclusively, national and regional economic conditions, the rate of new construction, and demand and supply in a given market will affect leasing activity, projected rents and the cost of lease renewals. For more information on Cornerstone Properties visit Cornerstone Properties' Web site at http://www.cstoneprop.com |
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