COSTA MESA, CA – Donahue Schriber Realty Group, a west coast owner, operator, and developer of neighborhood, community, and power shopping centers, recently closed $1.1 billion of strategic financing transactions.
These financings include a $712 million secured bank term facility and a $100 million life insurance company mortgage. In connection with the bank facility, the company executed a separate interest rate hedge with a peak amount of $285 million. In total, these financings will encumber 38 of the company’s 74 owned assets.
“Our $1.1 billion week is a significant corporate milestone that allows Donahue Schriber to reduce borrowing costs, extend the maturity dates on a bulk of our loans through 2023, while also providing future portfolio flexibility for dispositions and acquisitions,” said Donahue Schriber Chairman and CEO Patrick Donahue.
The completion of these financing events strengthens the company’s relationship with several of the nation’s leading financial institutions including Bank of America, Wells Fargo, US Bank, Union Bank, PNC, City National Bank and TIAA-CREF.
Speaking on the $712 million bank facility, Allen Staff, Bank of America’s market president and market executive commented, “The term facility was one of the largest originated in the nation this year.” In both transactions, Donahue Schriber was advised by Craig Zarro of Preferred Capital Advisors headquartered in Sacramento.
“With these financings behind us, we can turn our attention from the capital markets to our core business,” Donahue said. “We are very well positioned for growth in high-barrier-to-entry, supply-constrained markets on the West Coast.”
The company will remain active with two new ground-up developments, Rocklin Crossings and Rocklin Commons, located in Rocklin, California and which are progressing at a rapid pace. Walmart Supercenter will open next week at Rocklin Crossings, a 500,000 square foot center located off of I-80 and Sierra College Boulevard. In spring 2014, Target will open across I-80 at Rocklin Commons, a 360,000 square foot center.
“We are ready to take advantage of the improving economy and are investing $345 million into our development and redevelopment pipeline,” said Donahue.
In addition to its current development and redevelopment projects, the Company has also been busy on the acquisition front, acquiring $325 million in institutional quality retail projects within the last 24 months.
About Donahue Schriber
Named one of Orange County Business Journal’s “Top Private Companies” in June 2013, Donahue Schriber is a private Real Estate Investment Trust (REIT) operating on the West Coast. The company owns and operates a portfolio of 74 neighborhood, community, and power shopping centers representing more than 12 million square feet throughout California, Arizona, Nevada, Oregon, and Washington. For more information, visit www.DonahueSchriber.com.
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