Macerich ( NYSE: MAC ) has closed or is working on just under $1.4B in refinancing transactions since early December, in moves to address its debt maturities, the retail REIT said Monday.
"Through a combination of loan extensions and refinancings, Macerich continues to effectively transact on its secured loan portfolio," said Scott Kingsmore, senior executive vice president of Finance and chief financial officer.
On Jan. 3, the company closed a $370M, five-year refinancing of its previous $363M of combined loans that formerly encumbered Green Acres Mall and Green Acres Commons in Valley Stream, NY. Both loans were maturing during Q1 2023. The new loan bears a fixed interest rate of 5.90%, is interest only during the entire loan term and matures on Jan. 6, 2028.
In early December, Macerich ( MAC ) closed on a three-year extension of its $300M loan on Santa Monica Place in Santa Monica, California. The extended loan carries a floating rate of LIBOR plus 1.48% and now matures on Dec. 9, 2025, including extension options.
The REIT's joint venture that owns Scottsdale Fashion Square in Scottsdale, Arizona, is in the process of refinancing its existing $405M mortgage loan. The new five-year, fixed-rate loan is expected to be $700M, which would generate almost $150M of incremental liquidity for Macerich ( MAC ). The loan is expected to close during Q1 2023.
In November, Macerich ( MAC ) lowered its 2022 guidance midpoint after Q3 earnings miss. Since then, SA contributor WideAlpha dug into the REIT's investor day slides .
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Macerich makes progress in staggering debt maturities