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CRIIMI MAE ARRANGES NEW $350 MILLION FINANCING FACILITY; WILL USE FUNDS TO ACQUIRE INSURED MORTGAGES AND REFINANCE EXISTING CORPORATE DEBT

 ROCKVILLE, Md., May 3 /PRNewswire/ -- CRI Insured Mortgage Association, Inc. (CRIIMI MAE) (NYSE: CMM), the largest multifamily mortgage REIT, has arranged a new $350 million financing facility from Nomura Asset Capital Corporation and a Nomura affiliate.
 The facility is composed initially of $300 million, and CRIIMI MAE has an option to expand the facility by an additional $50 million to total $350 million.
 CRIIMI MAE intends to use funds from the $350 million facility to acquire both federally insured multifamily mortgages and government guaranteed mortgage securities and to refinance corporate debt.
 CRIIMI MAE Chairman William B. Dockser said: "This financing is the latest step in CRIIMI MAE's effort to enhance income from ordinary operations. We are pleased to be able to access the capital markets and invest at a time when adding new assets can significantly increase ordinary earnings."
 Dockser said that under today's interest rates, new investments financed by the new facility would generate a positive earnings spreadf? appro xi tely 250-to-300 basis points.
 The financing is a multi-year facility based on three-month LIBOR. CRIIMI MAE intends to hedge the new borrowings against large increases in interest rates.
 CRIIMI MAE last expanded its financing this January, when the company obtained an additional $15 million from two of its banks and invested the proceeds in federally insured multifamily mortgages which are earning a net positive interest rate spread of nearly 300 basis points.
 At March 31, 1993, CRIIMI MAE's assets stood at approximately $600 million. CRIIMI MAE's adviser is an affiliate of CRI, Inc., the real estate investment management firm based in the Washington area.
 -0- 5/3/93
 /CONTACT: James T. Pastore, 301-231-0323, or Susan B. Railey, 301-468-3120, both for CRIIMI MAE/
 (CMM)


CO: CRIIMI MAE ST: Maryland IN: FIN SU:

TW-DC -- DC006 -- 3613 05/03/93 09:16 EDT
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Publication:PR Newswire
Date:May 3, 1993
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