Search
 

Arbor Revamps $374M of Wachovia Loans

UNIONDALE, NY-The locally based REIT has combined two term loans and increased the size of its working capital facility.

By Paul Bubny | Updated on July 28, 2009

UNIONDALE, NY-Locally based Arbor Realty Trust said Tuesday that it has completed a $374-million restructuring of its financing facilities with Wachovia Bank for three years. Additionally, the REIT has agreed in principle to amend its management agreement with Arbor Commercial Mortgage, LLC, as external manager.

Through Wachovia, Arbor has two term loan facilities with an outstanding aggregate balance of $332 million and a working capital facility with an outstanding balance of $42 million. These facilities were consolidated into one term debt facility with an outstanding balance of $317 million and one working capital facility with an outstanding balance of $57 million. The maturity dates of the facilities were extended for three years, according to a release.

As part of the deal, Arbor issued Wachovia one million warrants at an average strike price of $4. Half of these warrants are exercisable immediately at a price of $3.50; 250,000 warrants are exercisable after July 23, 2010 at a price of $4; and 250,000 warrants are exercisable after July 23, 2011 at a price of $5. All warrants expire on July 23, 2015, the REIT says.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 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.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.