TSX:SOT.DB - Post by User
Post by
Tree2treeon Oct 01, 2024 11:19am
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Post# 36248330
REIT's are able to borrow against properties again
REIT's are able to borrow against properties again
BTB.UN was able to increase mortgage borrowing in order to repay debentures. I'm not saying it's the same situation as SOT, but it shows lenders are willing to increase lending against specific properties.
"In an effort to reduce the interest costs on our indebtedness, we choose to optimize our mortgage debt at the property-level to generate sufficient proceeds to repay entirely the Debentures and accrued interest thereon at their maturity", says Michel Lonard, President and Chief Executive Officer. "This strategy is leverage-neutral and enables us to achieve a weighted-average interest cost significantly below the cost we would have incurred by issuing a new convertible debenture."