Centerspace closed on a $100 million term loan with PNC Bank as administrative agent. The loan currently bears interest at a floating rate of 1.20% to 1.75% over the Secured Overnight Financing Rate, or SOFR, based upon Centerspace’s leverage ratio and is for a term of one year with a one-year extension option. Proceeds from the term loan will be used to repay a portion of the balance on Centerspace’s existing credit facility.
“The term loan augments our capacity and provides us with financial flexibility as we continue to optimize our portfolio strategy and market exposure. We are extremely pleased with the execution in this challenging capital markets backdrop, and it demonstrates the strength of our institutional relationships.” Mark O. Decker, Jr., president and CEO of Centerspace, said.
