Claros Mortgage Trust repriced its approximately $763 million secured term loan B facility, reducing the overall pricing by 100 basis points. According to an 8K filed with the SEC, JPMorgan Chase Bank is the administrative agent for the facility, which will mature on Aug. 9, 2026.
The term loan will use the secured overnight financing rate (SOFR), replacing LIBOR as the reference rate. Based on current SOFR, the overall pricing of the term loan was reduced by 100 basis points to the sum of (i) SOFR plus a credit spread adjustment (or, if greater, 50 basis points) and (ii) 450 basis points. Previously, the term loan was priced at LIBOR plus 500 basis points with a LIBOR floor of 100 basis points. In addition, the prior 12-month soft call protection period, which would require the payment of a 1% premium to repay the term loans during such period, was shortened to six months. All other material terms and conditions were unchanged.
“We are pleased to announce the refinancing of our term loan, which meaningfully reduces our overall cost of debt,” Richard Mack, CEO and chairman of Claros Mortgage Trust, said. “Refinancing our term loan upon the completion of our IPO was a key priority for CMTG, and we believe the company is well positioned to continue to further optimize our capital structure over time.”
Claros Mortgage Trust is a real estate investment trust that is focused primarily on originating senior and subordinate loans on transitional commercial real estate assets located in the United States.
