Stratus Properties Inc. Completes Refinancing of Kingwood Place
Stratus Properties (NASDAQ: STRS) has secured a $33.0 million non-recourse loan to refinance the construction loan for Kingwood Place, an H-E-B-anchored retail project in Kingwood, Texas. The company owns approximately 60% of the property through a partnership. The new loan, maturing December 1, 2027, features a tighter interest rate spread than the previous loan and is expected to generate payments and distributions of about $2.0 million to Stratus. The refinancing follows successful construction and substantial lease-up of the retail space, including the H-E-B grocery store.
Stratus Properties (NASDAQ: STRS) ha ottenuto un prestito non garantito di 33,0 milioni di dollari per rifinanziare il prestito di costruzione per Kingwood Place, un progetto commerciale ancorato da H-E-B a Kingwood, Texas. La società possiede circa il 60% della proprietà attraverso una partnership. Il nuovo prestito, in scadenza il 1° dicembre 2027, presenta uno spread di tasso d'interesse più ristretto rispetto al prestito precedente e si prevede generi pagamenti e distribuzioni di circa 2,0 milioni di dollari a Stratus. Il rifinanziamento avviene dopo la riuscita costruzione e il notevole affitto dello spazio commerciale, inclusa la sede del supermercato H-E-B.
Stratus Properties (NASDAQ: STRS) ha conseguido un préstamo no garantizado de 33,0 millones de dólares para refinanciar el préstamo de construcción de Kingwood Place, un proyecto minorista anclado por H-E-B en Kingwood, Texas. La empresa posee aproximadamente el 60% de la propiedad a través de una asociación. El nuevo préstamo, que vencerá el 1 de diciembre de 2027, presenta un diferencial de tasa de interés más ajustado que el préstamo anterior y se espera que genere pagos y distribuciones de aproximadamente 2,0 millones de dólares para Stratus. El refinanciamiento sigue a la exitosa construcción y una importante ocupación del espacio comercial, incluido el supermercado H-E-B.
스트래터스 프로퍼티스 (NASDAQ: STRS)는 텍사스 킹우드에 위치한 H-E-B 중심의 소매 프로젝트인 킹우드 플레이스의 건설 대출을 다시 금융하기 위해 3,300만 달러의 비상환 대출을 확보했습니다. 이 회사는 파트너십을 통해 약 60%의 소유권을 가지고 있습니다. 새로운 대출은 2027년 12월 1일 만료되며, 이전 대출보다 더 낮은 금리 차이를 특징으로 하며, 스트래터스에게 약 200만 달러의 지급 및 배당을 생성할 것으로 예상됩니다. 이 재융자는 성공적인 건설과 H-E-B 식료품점이 포함된 상업 공간의 상당한 임대와 함께 이루어졌습니다.
Stratus Properties (NASDAQ: STRS) a obtenu un prêt non remboursable de 33,0 millions de dollars pour refinancer le prêt de construction de Kingwood Place, un projet de vente au détail soutenu par H-E-B à Kingwood, Texas. L'entreprise possède environ 60 % de la propriété via un partenariat. Le nouveau prêt, qui arrivera à échéance le 1er décembre 2027, présente un écart de taux d'intérêt plus étroit que le précédent prêt et devrait générer des paiements et des distributions d'environ 2,0 millions de dollars pour Stratus. Le refinancement fait suite à une construction réussie et à une importante occupation de l'espace commercial, y compris le supermarché H-E-B.
Stratus Properties (NASDAQ: STRS) hat ein nicht rückzahlbares Darlehen in Höhe von 33,0 Millionen Dollar gesichert, um das Baukredit für Kingwood Place, ein von H-E-B unterstütztes Einzelhandelsprojekt in Kingwood, Texas, umzuschulden. Das Unternehmen besitzt etwa 60 % des Grundstücks durch eine Partnerschaft. Das neue Darlehen, das am 1. Dezember 2027 fällig wird, weist eine engere Zinsdifferenz als das vorherige Darlehen auf und wird voraussichtlich Zahlungen und Ausschüttungen von etwa 2,0 Millionen Dollar an Stratus generieren. Die Refinanzierung folgt auf den erfolgreichen Bau und die wesentliche Vermietung der Verkaufsflächen, einschließlich des H-E-B-Supermarkts.
- Secured $33.0 million non-recourse loan with better interest rate terms
- Expected to receive $2.0 million in payments and distributions
- Successfully leased substantially all retail space
- Maintains ownership of cash-flowing property
- None.
Insights
The refinancing of Kingwood Place represents a strategic financial move with several positive implications. The new
The successful refinancing demonstrates lender confidence in the project's stability, supported by high occupancy rates and the presence of anchor tenant H-E-B. The non-recourse nature of the loan limits Stratus's liability while maintaining their
The new loan matures December 1, 2027, has a tighter interest rate spread than the refinanced loan and is expected to result in payments and distributions to Stratus of approximately
William H. Armstrong III, Chairman of the Board and Chief Executive Officer of Stratus, stated, “We are pleased to announce that after successfully constructing and signing leases for substantially all of the retail space, including the H-E-B grocery store, at Kingwood Place, we have now refinanced the project, taking advantage of lower interest rates through a non-recourse refinancing. We believe that retaining this cash-flowing property while real estate market conditions improve will benefit Stratus and its shareholders.”
About Stratus
Stratus Properties Inc. is engaged primarily in the entitlement, development, management, leasing and sale of multi-family and single-family residential and commercial real estate properties in the
CAUTIONARY STATEMENT
This press release contains forward-looking statements in which Stratus discusses factors it believes may affect its future performance. Forward-looking statements are all statements other than statements of historical fact, such as plans, projections or expectations related to Stratus’ investment strategy for Kingwood Place and expectations regarding the
Stratus cautions readers that forward-looking statements are not guarantees of future performance, and its actual results may differ materially from those anticipated, expected, projected or assumed in the forward-looking statements. Important factors that can cause Stratus’ actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to, Stratus’ ability to implement its business strategy successfully, including its ability to develop, construct and sell or lease properties on terms its Board considers acceptable, increases in operating and construction costs, the availability and terms of financing for development projects and other corporate purposes, Stratus’ ability to enter into and maintain joint ventures, partnerships, or other strategic relationships, including risks associated with such joint ventures, real estate market conditions in the
Investors are cautioned that many of the assumptions upon which Stratus’ forward-looking statements are based are likely to change after the date the forward-looking statements are made. Further, Stratus may make changes to its business plans that could affect its results. Stratus cautions investors that it undertakes no obligation to update any forward-looking statements, which speak only as of the date made, notwithstanding any changes in its assumptions, business plans, actual experience or other changes.
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A copy of this release is available on Stratus’ website, stratusproperties.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241126777219/en/
Financial and Media Contact:
William H. Armstrong III
(512) 478-5788
Source: Stratus Properties Inc.
FAQ
What is the value of Stratus Properties' (STRS) new Kingwood Place refinancing loan?
When does Stratus Properties' (STRS) new Kingwood Place loan mature?
How much does Stratus Properties (STRS) own of Kingwood Place?
What distributions will Stratus Properties (STRS) receive from the Kingwood Place refinancing?
