Glimcher Closes $114M Loan for Ohio Mall Property

DAYTON, OH-The mall REIT Glimcher Realty Trust of Columbus, OH has closed on a new $114 million permanent mortgage for the Mall at Fairfield Commons, a one million-sf mall here.

The 11-year loan bears interest at a fixed rate of 5.45%, and is subject to a 30-year principal amortization schedule. The proceeds were used to repay borrowings under the company’s secured line of credit. The loan matures on Nov. 1, 2014. Information on the lender was not immediately available.

Glimcher president Michael Glimcher says the loan strengthens the company’s financial position by replacing variable rate debt scheduled to mature in the next 15 months. The company’s share price in noontime trading Monday stood at $22.27, up $0.11 on the day. The stock’s 52-week high share price is $23.49.

In August, Glimcher completed a $60-million public offering, selling 2.4 million shares of 8.75% Series F Cumulative Redeemable Shares for $25 apiece. The net proceeds, approximately $57.8 million, were used to pay down the outstanding balance a $170 million secured credit facility and to partially fund the $153-million acquisition of the 1.06-million-sf WestShore Plaza in Tampa, FL.

Glimcher acquired the 98%-leased mall from a Nevada-based general partnership owned by Grosvenor USA of San Francisco, a division of London-based Grosvenor Holdings. The price for the 36-year-old property equates to $144.34 per sf, one of the highest per-sf prices paid for a retail asset in the Tampa Bay market. The sale closed in September.