Gladstone Land Corp. said it modified its existing credit facility to increase the overall size to $200 million from $125 million.
The facility with Metropolitan Life Insurance Co. now comprises an aggregate of $150 million in term notes and an aggregate of $50 million in revolving lines of credit.
Gladstone also reduced the blended interest rate on all previously outstanding borrowings under the term notes to 3.16% from 3.35%, extended the fixed-rate term of the term note borrowings to January 2027 and increased the overall LTV ratio on the underlying properties pledged as collateral under the facility to 60% from 58%.
Further, the company pledged additional properties as collateral and reappraised certain existing collateral properties, resulting in higher valuations. The company said the increase in the LTV ratio and changed values of underlying collateral will allow for approximately $28 million of additional borrowing availability.