ARLINGTON, Va., May 30 /PRNewswire/ -- Charles E. Smith Residential
Realty, Inc. (NYSE: SRW), the nation's leading urban multifamily residential
REIT, announced today the closing of a ten-year, $300 million secured line of
credit with Freddie Mac. Columbia National Real Estate Finance Inc., is the
loan originator and servicer. Initial availability under the agreement is
approximately $125 million, but can increase to $300 million with appreciation
in value of the properties collateralizing the borrowings and/or with the
addition of properties to the collateral pool. An initial draw of
approximately $60 million will allow Smith Residential to pay down outstanding
debt on its existing bank credit facility.
Denny Minami, Executive Vice President and CFO for Smith Residential,
said, "We are very pleased with this new financing agreement, which
complements our existing bank credit facility in providing another source of
attractively priced revolving credit." He added, "This is the first time
Freddie Mac has provided a revolver facility and we appreciate the efforts of
both Freddie Mac and Columbia National in developing this new loan product. As
a result of this transaction, we have reduced our short-term borrowing costs,
extended our weighted-average maturity, and added an alternative source of
revolving debt."
"The Smith Residential facility is a new mortgage product designed
specifically to respond to our borrower's evolving requirements," said H.L.
Van Varick, Vice President of Negotiated Transactions for Freddie Mac. "We
think this is an excellent example of working with one of our premier
multifamily customers in enhancing their revolving credit options and we look
forward to expanding this new loan product to other high quality borrowers."
Charles E. Smith Residential Realty, Inc. is a self-managed real estate
investment trust listed on the New York Stock Exchange under the symbol "SRW."
The Company and its subsidiaries and affiliates own, acquire, develop, and
manage multifamily residential units in Washington, D.C., Northern Va.,
Chicago, Boston, and Southeast Fla. The Company owns or has an interest in
over 26,500 units and has approximately 3,300 units under construction or pre-
purchase agreement. The total market capitalization of the Company -- Charles
E. Smith Residential Realty, Inc., including its Operating Partnership --
exceeds $2.7 billion.
Investor information, including press releases about Charles E. Smith
Residential Realty, is available on the Company's web site at
http://www.charlesesmith.com and also through PR Newswire's News on Call by fax
800-758-5804, ext. 101271, or at http://www.prnewswire.com.
SOURCE Charles E. Smith Residential Realty, Inc
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Related links:
http://www.charlesesmith.com
CONTACT:
Investors: Chandler Spears, 703-769-1044 or
Media: Susan Goyette, 703-769-6746, both of Charles E. Smith
Residential Realty, Inc.
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