Former Rouse, GGP Mall in Chicago. This was the typical GGP mall with a high DSCR, low leverage (relatively speaking) and good tenants (again, relatively speaking. Matured 9/2010, but they were able to refinance the $131.5mm pari passu CMBS note on 9/28 with a new $200mm loan from Met Life according to Crain's (sorry no link).
The loan was permitted to get mezzanine financing, but frankly I don't know if it did. Regardless, it definitely refinanced into a substantially larger loan giving proceeds back to GGP. It's a little frustrating that
bond holders had to eat a $1.2mm loss as both Trusts were charged substantial fees.
Posts
3 comments:
I thought GGP reimbursed the trusts for the expenses as part of the BK deal...
You'd think - maybe the check is in the mail.
I added an image showing the Trustee report, though, and it looks pretty final to me.
Nope, they're not going to pay it. They must have negotiated different agreements on some properties, and in this case they didn't feel obligated to pay it even though they took home an enormous cash out from the refi. I'd be less than pleased if I were an investor in this deal, and curious to find out more if I were an investor in the other GGP deals that may start seeing a refi wave...
Post a Comment