ELS Locks in Blended Rate at 5.06% on $250M Loan
Equity LifeStyle Properties Inc. announced on Thursday (June 9) that it has executed two rate lock agreements related to $250 million in secured CMBS financing secured by 21 manufactured housing and three RV communities which the company expects to close within 120 days.
The rate lock agreements carry a blended all in interest rate of 5.06% per annum with a 10-year term, according to a news release.
The proceeds from the secured financings are expected to be used to partially fund the previously announced pending acquisition of a portfolio of 76 manufactured home communities containing 31,167 sites on approximately 6,500 acres located in 16 states (primarily located in Florida and the northeastern region of the United States) and certain manufactured homes and loans secured by manufactured homes located at the Hometown Properties for a stated purchase price of $1.43 billion.
The company anticipates closing on the acquisition of 39 of the Hometown Properties and Home Related Assets associated with such 39 properties on July 1 with a stated purchase price of approximately $519 million. The company’s acquisition of the balance of the Hometown Portfolio and assumption of the indebtedness thereon is subject to receipt of loan servicer consents. The acquisition is also subject to other customary closing conditions and no assurances can be given that the acquisition will be completed in its entirety in accordance with the anticipated timing or at all.
Equity LifeStyle Properties Inc. owns or has an interest in 307 quality properties in 27 states and British Columbia consisting of 111,008 sites. The company is a self-administered, self-managed, real estate investment trust (REIT) with headquarters in Chicago.