Consolidated-Tomoka Land Co. (NYSE MKT: CTO) (the “Company”) today
announced the acquisition of an approximately $9.0 million B-Note
secured by a retail shopping center located in Sarasota, FL. The loan
matures in June 2015, includes 3 one-year extension options and bears a
floating interest rate of 30-day Libor plus 725 basis points. The loan
is pari-passu to an approximately $48.0 million A-Note secured by the
same property, for a total debt balance of $57.0 million.
Additionally, the Company originated a $6.3 million first mortgage
commitment for the redevelopment of an existing vacant retail property
located in Glendale, AZ. At closing, the Company funded approximately
$3.1 million with the balance to be drawn during construction. The
property is subject to a new long term lease with a national retailer,
which will commence upon completion of construction. The Company has an
option to purchase the property after completion. The interest only loan
has an initial term of 18 months and bears a fixed interest rate of
6.00%.
John P. Albright, President and Chief Executive Officer of the Company
stated, “We are pleased to add these accretive loan investments, secured
by real estate in strong markets with good risk adjusted yields at below
replacement cost, to our portfolio.” Mr. Albright also noted,
“Year-to-date, including our $14.7 million acquisition of a property
leased to Lowe’s in Katy, TX with approximately 13 years remaining, we
have invested or committed approximately $35.0 million with a 7.3%
weighted average yield, which represents almost 60% of the $60 million
upper range of our 2014 acquisition guidance.”
About Consolidated-Tomoka Land Co.
Consolidated-Tomoka Land Co. is a Florida-based publicly traded real
estate company, which owns a portfolio of income investments in
diversified markets in the United States, as well as over 10,500 acres
of land in the Daytona Beach area. Visit our website at www.ctlc.com.
"SAFE HARBOR"
Certain statements contained in this press release (other than
statements of historical fact) are forward-looking statements. The words
“believe,” “estimate,” “expect,” “intend,” “anticipate,” “will,”
“could,” “may,” “should,” “plan,” “potential,” “predict,” “forecast,”
“project,” and similar expressions and variations thereof identify
certain of such forward-looking statements, which speak only as of the
dates on which they were made. Forward-looking statements are made based
upon management’s expectations and beliefs concerning future
developments and their potential effect upon the Company. There can be
no assurance that future developments will be in accordance with
management’s expectations or that the effect of future developments on
the Company will be those anticipated by management.
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