NEWPORT BEACH, CA-Turning away from its usual method of raising cash, locally based Health Care Property Investors Inc. has completed a secured debt transaction valued at $83 million for a portfolio of 12 medical office buildings and physician clinics.
Some of the proceeds are being used to reduce the company's revolving lines of credit. But most will be used to redeem the REIT's remaining $72 million in convertible subordinated notes due Nov. 8, says Kenneth B. Roath, the company's chairman and CEO.
Though the company usually taps the public markets for unsecured debt, “the very high rates currently available from that market prompted us to investigate secured financing options for a more effective cost of funds,” Roath said in a statement.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
