REITs are getting more loans from banks. Bad for long term recovery
April 07, 2009
– Comments (9) |
RELATED TICKERS: VNO
, SPG
, LRY
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SPG :
Simon Property Group Sells $650 Million of Senior Notes
Simon Property prices stock offering at $31.50
Simon Property Group Completes Two Secured Financings
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AMB : AMB Property to sell 33 million shares
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LRY : Liberty Property Trust Raises $317 Million Through Secured Financing
Liberty Property Trust (NYSE: LRY - News) has announced the closing of six mortgage loans totaling $317 million secured through several major life insurance companies.
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KIM : Kimco Realty Corporation Announces Pricing of Common Stock Offering
The company intends to use the net proceeds from this offering, which are expected to be approximately $623.6 million (without giving effect to any exercise of the underwriters’ over-allotment option), for debt repayment and for general corporate purposes
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VTS : Ventas Announces Pricing of Common Stock and Senior Notes Offerings
The Company also announced today that it has priced a public offering of $200 million aggregate principal amount of 6½% Senior Notes due 2016 at 84.25% of principal amount, for a yield to maturity of 9.597%.
Gross proceeds from the common stock offering (before deducting the underwriting discount and expenses) are expected to be approximately $305 million (or approximately $350 million if the underwriters’ overallotment option is exercised in full).
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Soon I bet you will hear VNO, BXP likes to deal with underwriters like ML/GS/JPM to get some deals.
Question: Who is buying all these junks? Banks want these deals to go through because these acts can slow down the default rates of CRE market. These are BAD loans. REITs are defaulting and their credit rating is still misleading.
S&P Puts $96.6B In CMBS On Watch For Possible Downgrade
SPG is defaulting their malls and their bonds are still rating A-? You've gotta be kidding.