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LOS ANGELES-MPG Office Trust Inc., the newly renamed former Maguire Properties, has handed over its 150,000-square-foot 17885 Von Karman Ave. office building in Irvine to its lender and has extinguished a $26.4 million construction loan in the process. The Los Angeles-based REIT says that it contributed approximately $2 million to reduce the loan, turned the property over to the lender pursuant to a deed-in-lieu transaction, and was relieved of both the $26.4 million loan and a $6.7 million repayment guaranty. The loan was scheduled to mature on June 30.

The deed-in-lieu is the latest in a series of efforts that MPG started two years ago to reduce debt, eliminate repayment and debt service guarantees and extend debt maturities, company CEO Nelson Rising said in a prepared statement. Earlier this month, for example, MPG we made a principal payment of $9.7 million on the construction loan for its 188,000-square-foot 207 Goode office building at the company’s Glendale North campus in Glendale. In exchange for that $9.7 million, the lender agreed to substantially reduce MPG’s repayment guaranty on the loan. The REIT has the property up for sale.

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