Plazacorp completes $17.4 million in long term debt financing and renews development lines
Sep 1, 2009
FREDERICTON, Sept. 1 /CNW/ - Plazacorp Retail Properties Ltd. (PLZ:TSX Venture) announced today that it has completed $17.413 million in two separate long term financing transactions. The first totals $3.9 million, has a term of 15 years, and is secured by a property located in New Brunswick. The second transaction totals $13.5 million, has a term of 5 years, and is secured by eight (8) properties located in Atlantic Canada and Ontario. Proceeds were used to repay development line financing and for general corporate purposes. Plazacorp is also pleased to announce that it has renewed its primary development line facilities with two Canadian chartered banks. A $35.0 million facility with one chartered bank was replaced with three development credit facilities of $27.5 million, $9.9 million (project specific) and $9.6 million (project specific). A development line of $15.0 million with a second Canadian chartered bank was renewed and increased to $17.5 million. The lines are secured by a pledge of the properties under development and Plazacorp's corporate guarantee. "The completion of these debt financings, the renewal of our development credit facilities and the continued success of our dividend reinvestment plan demonstrate Plazacorp's continued ability to finance its growth and successfully operate in today's economic environment." said Michael Zakuta, Plazacorp President and CEO. Plazacorp Retail Properties Ltd. is an owner of shopping malls and strip plazas throughout the Atlantic Provinces, Quebec and Ontario. Plazacorp, as at September 1, 2009 now owns interests in 98 properties comprising 4.4 million square feet of retail real estate.The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.%SEDAR: 00012014E
For further information:
For further information: Earl Brewer, Chairman, (506) 451-1826; Kim Sharpe, Director of Business Development, (506) 451-1826; www.plaza.ca