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Simon Property Amends & Extends Revolving Credit Facility

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Simon Property Group, Inc. (SPG - Free Report) has announced the extension and amendment of its $4 billion unsecured multi-currency revolving credit facility. The arrangement is likely to add to the financial flexibility of this Indianapolis, IN-based retail real estate investment trust (REIT).

The new credit facility is slated to mature on Jun 30, 2021 but can be extended by a year. Further, this refinanced facility can also be extended to $5 billion. This new revolver carries a lowered rate of interest of LIBOR plus 77.5 basis points. Also, it offers the borrowing facility denominated in U.S. dollars, euro, yen, sterling, Canadian dollars and Australian dollars.

Simon Property is engaged in acquiring, owning and leasing a diverse portfolio of shopping malls. This new facility when added with the existing $3.5 billion revolver provides the REIT with $7.5 billion of total revolving credit capacity.
 
Currently, Simon Property carries a Zacks Rank #3 (Hold).

Shares of Simon Property underperformed the Zacks categorized REIT and Equity Trust - Retail industry, over the past six months. During this time span, shares of the company lost 18%, whereas the industry declined 12%.


Investors interested in the REIT space, may consider stocks like Global Net Lease, Inc. (GNL - Free Report) , CoreSite Realty Corporation (COR - Free Report) and CorEnergy Infrastructure Trust, Inc. . All these stocks carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the last 30 days, Global Net Lease’s FFO per share for first-quarter 2017 escalated 11.1% to 60 cents.

In the last 30 days, CoreSite Realty’s FFO per share for first-quarter 2017 increased 0.9% to $1.06.

CorEnergy Infrastructure Trust’s first-quarter 2017 FFO per share estimates moved up 6.5% to $1.14, in the last 30 days.

Note: FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income. All EPS numbers presented in this write up represent FFO per share.

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Simon Property Group, Inc. (SPG) - free report >>

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