UMH PROPERTIES, INC. ANNOUNCES NEW CREDIT FACILITY
UMH Properties, Inc. (NYSE: UMH) announced the successful financing of 28 unencumbered communities, totaling approximately 4,100 sites, with Wells Fargo Bank for about $106 million.
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Rhea-AI Summary
UMH Properties, Inc. (NYSE: UMH) announced the successful financing of 28 unencumbered communities, totaling approximately 4,100 sites, with Wells Fargo Bank for about $106 million. This Fannie Mae credit facility has a 10-year maturity and a fixed interest rate of 2.62%. The funds will be used to redeem 8% Series B Perpetual Preferred Stock and to enhance investments in additional acquisitions and rental homes. CEO Samuel A. Landy highlighted the significance of this financing in improving funds from operations by over $5 million annually.
Positive
- Secured $106 million financing to enhance operations.
- Fixed interest rate of 2.62% on a 10-year credit facility.
- Ability to improve funds from operations by over $5 million annually by redeeming 8% Series B Preferred Stock.
Negative
- None.
Details
News Market Reaction – UMH
The recorded move for UMH in the trading session of this news was +1.30%.
Data tracked by StockTitan Argus. Session date unavailable.
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FREEHOLD, NJ, Aug. 20, 2020 (GLOBE NEWSWIRE) -- UMH Properties, Inc. (NYSE: UMH) today announced that it has successfully completed the financing of 28 of its unencumbered communities, containing approximately 4,100 sites, through Wells Fargo Bank, N. A. for total proceeds of approximately
Samuel A. Landy, President and Chief Executive Officer commented, "We are very pleased to continue our strong relationship with Fannie Mae and Wells Fargo who have done an exceptional job of providing low cost debt that will allow us to continue on our mission of providing quality affordable housing. We will have the ability to borrow up as we generate increased occupancy and NOI. The acceptance of rental homes and the access to debt through Fannie Mae is a major transformative milestone for our industry.”
“This credit facility will allow us to call our
UMH Properties, Inc., which was organized in 1968, is a public equity REIT that owns and operates 123 manufactured home communities with approximately 23,200 developed homesites. These communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Michigan and Maryland.
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Contact: Nelli Madden
732-577-9997
UMH PROPERTIES, INC.
Juniper Business Plaza
3499 Route 9 North, Suite 3-C
Freehold, NJ 07728
(732) 577-9997
Fax: (732) 577-9980
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