trending Market Intelligence /marketintelligence/en/news-insights/trending/OGYZBMJ_6gdTc2usH8VYNQ2 content esgSubNav
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us
In This List

Lightstone Value Plus REIT III secures $60M credit facility

Commercial Real Estate: 2020 Review

Gauging Supply Chain Risk In Volatile Times

The Commercial Real Estate (CRE) Sector Feels the Impact of the Coronavirus

Credit Analytics Case Study Poundworld Retail Ltd


Lightstone Value Plus REIT III secures $60M credit facility

Lightstone ValuePlus REIT III Inc., through certain of its units, obtained a revolvingcredit facility amounting to $60.0 million.

The facility, signed July 13, provides for a line of credit overthe next three years, with two one-year extension options at the lender's option.It bears interest at LIBOR plus 4.95%, payable monthly. The company may designateassets as collateral to borrow up to a loan-to-value ratio of the properties of65.0%.

The company on the same day received total initial advances of$45.4 million under the facility, bringing the available amount remaining to $14.6million. The advances are secured by five hotel assets, including in Green Bay,Wis.; two Hampton Inn hotels in Des Moines, Iowa, and Lansing, Mich.; and two Courtyardby Marriott hotels in Durham, N.C., and Warwick, R.I.

Lightstone used roughly $14.4 million of the financing proceedsto repay the outstanding interest and principal balance on two existing revolvingpromissory notes. Moreover, it paid approximately $1.0 million of financing fees,while some $300,000 was held in escrow and is reserved for property improvements,repairs and real estate taxes.

It may use the remaining financing proceeds of around $31.0 millionfor acquisitions, CapEx, working capital and other general corporate funding purposes,including distributions.

Western Alliance Bank is the lender.