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NEW YORK CITY-AmeriCold Realty Trust has completed a $400-million, one-year, interest-only financing. The loan is collateralized by 21 of AmeriCold's owned and six of its leasedtemperature-controlled warehouses.

AmeriCold is owned 47.6% by Vornado Realty Trust, 31.7% by Crescent Real Estate Equities Co. and 20.7% by the Yucaipa Cos. LLC, Approximately $243 million of the loan was drawn to repay an existing $243-million mortgage on the facilities. The remaining $157 million of the new loan can be drawn at any time prior to October 7.

The initial interest rate on the new mortgage is Libor plus 0.60% and increases to Libor plus 1.10% when the remaining balance is drawn. The refinanced loan had a rate of Libor plus 2.95% and required principal amortization of $5 million per year.

AmeriCold just had a grand opening of its second facility in Charlotte, NC. According to the firm, this addition reflects a growing trend for the need for frozen and perishable food storage within the southeast. "This distribution facility allows AmeriCold to continue to anticipate and meet customer demand and strategically complements our national network," says Chris Hughes,group vice president of supply chain solutions, AmeriCold.

In 1997 and 1998, Vornado and Crescent, through AmeriCold Realty, purchased four independent temperature controlled warehouse companies. At that time, REITs were prohibited from owning certain assets and conducting certain operational activities. In order to remain in compliance with the REIT laws, in 1999 AmeriCold Realty sold its non-real estate assets to AmeriCold Logistics which had been owned by Vornado and Crescent.

As a result of changes in the REIT laws allowing REIT's to own operating companies and to better position AmeriCold Logistics for future growth, AmeriCold Realty purchased AmeriCold Logistics from Vornado Operating and Crescent Operating. In 2004, AmeriCold Logistics became a wholly-owned subsidiary of AmeriCold Realty, creating a parent/subsidiary relationship between the two as compared to a landlord/tenant relationship.

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