Cali Realty Announces Interest Exchange Agreement Covering $26 Million of Floating Rate Financing
CRANFORD, NJ--February 9, 1996--Cali Realty Corporation (NYSE:CLI) today announced that it entered into an interest exchange agreement covering $26 million of floating rate financing under its revolving credit facility.
The interest exchange agreement allowed the Company to fix its interest cost on $26 million at 6.765% per annum through February 1999. The Company did not incur any fees or charges in connection with the transaction. Prior to entering into this arrangement, the interest cost to the Company on the floating rate financing was 150 basis points over 30 day LIBOR.
Commenting on the transaction, Thomas A. Rizk, the Company's President and Chief Executive Officer said "By taking the opportunity to reduce our sensitivity to market interest rate fluctuations, we further add to the predictability of our Company's performance."
About the Company
Cali Realty Corporation is a fully integrated, self-administered, self-managed real estate investment trust (REIT) providing leasing, management, acquisition, development, construction and tenant related services for its properties. Cali Realty owns 40 office and office/flex buildings totaling approximately 3.9 million square feet and a 327 unit residential complex. All of the properties are located in New Jersey except for one, which is located in Rockland County, New York.