PEI - PREIT extends notes backing Cherry Hill Mall by two months

• Pennsylvania Real Estate Investment Trust ( NYSE: PEI ), known as PREIT, has extended promissory notes that back its Cherry Hill Mall to Feb. 1, 2023 from Nov. 1, 2022.
• To satisfy conditions of the extension and modification agreement, PREIT paid an extension fee of $2.5M and paid certain expenses incurred by the lenders.
• The agreement also gives the REIT an option to extend the maturity rate further to May 1, 2023 if an additional $1M of the outstanding principal balance of the notes are paid down on each of the monthly payment dates in February, March, and April of 2023, a $2.5B extension fee is paid, and the maturity date of the the trust's two secured credit agreements are extended to December 2023.
• The agreement relates to a $150M promissory note with New York Life Insurance Company dated Aug. 15, 2012 and a $150M promissory note with Teachers Insurance and Annuity Association of America also dated Aug. 15, 2012.
• Earlier this week, PREIT ( PEI ) said it accelerated its capital-raising initiative and has applied proceeds to pay down debt by $148M through Oct. 31, 2022.

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