Mack-Cali Refinances Unsecured Revolving Credit Facility
06/23/2000 Category: Financial
Cranford, New Jersey--June 23, 2000-- Mack-Cali Realty Corporation (NYSE: CLI) today announced that it has refinanced its unsecured revolving credit facility with a group of 24 lender banks, arranged by Chase Securities Inc. and FleetBoston Robertson Stephens Inc.
The $800 million unsecured facility, which is expandable to $1 billion, carries an interest rate equal to LIBOR plus 80 basis points, representing a reduction of 10 basis points from the previous facility. The current interest rate is subject to adjustment, on a sliding scale, based upon a change in the Company's investment grade long-term unsecured debt rating. The credit line, which also carries a facility fee of 20 basis points, has a three-year term with a one-year extension option.
"The refinancing of our credit line allows Mack-Cali significant financial capacity and flexibility and was completed in advance of what promises to be a competitive REIT refinancing market next year," commented Barry Lefkowitz, executive vice president and chief financial officer. Lefkowitz added, "We are pleased by this strong vote of confidence from the financial community."
Mack-Cali plans to utilize the credit facility to finance its future acquisitions activity, for general working capital needs, and for future debt repayments.
Combined with the Company's existing $100 million credit facility with Prudential Securities Credit Corp., Mack-Cali's revolving credit lines now total $900 million, expandable to a total of $1.1 billion.
The lending group for the credit line consists of: Chase Manhattan Bank, as administrative agent; Fleet National Bank, as syndication agent; Bank of America, N.A., as documentation agent; and Bank One, NA; Commerzbank Aktiengesellschaft; First Union National Bank; PNC Bank, N.A.; Bank Austria Creditanstalt; Bayerische Hypo-und Vereinsbank AG; Dresdner Bank AG; Societe Generale; Summit Bank; Wells Fargo Bank, N.A.; Bayerische Landesbank Girozentrale; Citizens Bank of Rhode Island; European American Bank; Chevy Chase Bank; Citicorp Real Estate, Inc.; DG Bank Deutsche Genossenschaftsbank, AG; Erste Bank; KBC Bank N.V.; SunTrust Bank; Bank Leumi USA; and Israel Discount Bank of New York.
Mack-Cali Realty Corporation is a fully-integrated, self-administered, self-managed real estate investment trust (REIT) providing management, leasing, development, construction and other tenant-related services for its class A real estate portfolio. Mack-Cali owns or has interests in 266 properties, primarily office and office/flex buildings, totaling approximately 28.4 million square feet, located in 12 states and the District of Columbia. The properties, which are primarily located in the Northeast, enable the Company to provide a full complement of real estate opportunities to its diverse base of over 2,400 tenants.
Additional information on Mack-Cali Realty Corporation is available on the Company's website at http://www.mack-cali.com.
Certain information discussed in this press release may constitute forward-looking statements within the meaning of the Federal Securities law. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to different materially from those projected. Among those risks, trends and uncertainties are the general economic climate; the supply of and demand for office, office/flex and industrial/warehouse properties; interest rate levels; the availability of financing; and other risks associated with the development and acquisition of properties, including risks that the development may not be completed on schedule, that the tenants will not take occupancy or pay rent, or that development or information on factors which could impact the Company and the statements contained herein, reference should be made to the Company's filings with the Securities and Exchange Commission including quarterly reports on Form 10-Q on Form 8-K, and annual reports on Form 10-L.