Japanese real estate investment trust Invesco Office J-REIT Inc. finalized an interest rate swap deal for ¥33.8 billion of loans borrowed in May and June from a syndicate of lenders arranged by Sumitomo Mitsui Banking Corp.
The ¥4.60 billion, ¥13.80 billion and ¥4.40 billion loans will carry fixed rates of 0.1258%, 0.1685% and 0.1745%, respectively, with Sumitomo Mitsui Trust Bank Ltd. acting as the counterparty for the first loan and Nomura Securities Co. Ltd. for the final two loans.
Meanwhile, the ¥5.70 billion and ¥5.30 billion loans, to be borrowed June 6, will have respective fixed rates of 0.1445% and 0.1745%, with Sumitomo Mitsui Trust Bank and Nomura Securities serving as counterparty, respectively.
The swaps are expected to hedge risks against interest rate fluctuations.
As of June 1, US$1 was equivalent to ¥109.44.
