"We saw an opportunity to go through and improve the balance sheet of the company--improve our fixed charge cover ratio and lower our interest costs--by pulling in some of these high coupon bonds," UDRT executive vice president and treasurer Ella S. Neyland explains to GlobeSt.com. The company turns 30 this year. "We have full availability on our revolving line of credit. We have a $475 million line of credit, so we've got the fire power to take advantage of some of these lower interest rates." UDRT closed on a $400 million Fannie Mae revolving credit facility in December of last year, and in March of this year, the company closed on a $72 million Freddie Mac line of revolving credit.

"We are trying to redeem those bonds," Neyland continues. "Our goal would be to ultimately do a new issue that would repay this redemption once we see how many we manage to redeem. And we also have $100 million of bonds that mature in the first quarter of next year, so the thought is, pull these in and basically reissue bonds at a very positive spread."