Developers Diversified Announces Closing of $400 Million Securitization
27 Novembro 2009 - 11:30AM
PR Newswire (US)
CLEVELAND, Nov. 27 /PRNewswire-FirstCall/ -- Developers Diversified
Realty Corporation (NYSE:DDR) announced today the successful
closing of the securitization of a $400 million, five year loan to
the Company that was originated by an affiliate of Goldman, Sachs
& Co. on October 8, 2009. Commencing Wednesday, November 25,
2009, the blended interest rate on the loan that the Company pays
is 4.225%. The triple-A rated portion of the certificates in the
securitization constituted "eligible collateral" under the Term
Asset-Backed Securities Loan Facility, or TALF, provided by the
Federal Reserve Bank of New York. The mortgage loan to the Company
is secured by a pool of 28 assets. Proceeds from the initial loan,
originated on October 8, were used primarily to repay secured debt
with near term maturities and reduce balances on the Company's
revolving credit facilities. The Company has repaid over $270
million of mortgage debt with a weighted average duration of 1.2
years and an interest rate of approximately 6.2%. Additionally,
since the end of the third quarter, the Company has used retained
cash flow and revolver availability to retire approximately $119
million of unsecured notes with a weighted average duration of 1.6
years and a yield to maturity of approximately 6.6%. David Oakes,
Senior Executive Vice President of Finance and Chief Investment
Officer, commented, "We are very pleased to complete this
transaction, which highlights the availability of attractive
financing for quality assets with strong sponsorship. This also
reaffirms our continued strategy to access long-term capital to
retire short-term debt." Developers Diversified owns and manages
approximately 665 retail operating and development properties in 44
states, Brazil, Canada and Puerto Rico. Totaling more than 147
million square feet, the Company's shopping center portfolio
features open-air, value-oriented neighborhood and community
centers, mixed-use centers and lifestyle centers located in prime
markets with stable populations and high-growth potential.
Developers Diversified is the largest landlord in Puerto Rico and
owns a premier portfolio of regional malls in and around Sao Paulo,
Brazil. Developers Diversified is a self-administered and
self-managed REIT operating as a fully integrated real estate
company. Additional information about the Company is available on
the Internet at http://www.ddr.com/. DATASOURCE: Developers
Diversified Realty Corporation CONTACT: Kate Deck, Investor
Relations Director of Developers Diversified, +1-216-755-5500, Web
Site: http://www.ddr.com/
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