Macerich gets nod for $600 million to $800 million credit facility

By Rebecca Melvin

New York, March 26 – Macerich Co. has obtained commitments from its joint lead lenders for a new revolving line of credit and credit facility of between $600 million and $800 million, according to an 8-K filing with the Securities and Exchange Commission.

Deutsche Bank, JPMorgan, and Goldman Sachs are the joint lead lenders for the facility, which is expected to close in April.

News of the credit commitment was announced in tandem with other capital events and updates outlined by the company in a press release on Friday.

The company also said that as of March 25, it has sold 36 million shares of common stock under its “at the market” equity program at a weighted average price of $13.54 per share, generating gross proceeds of about $487.3 million. About 1 million shares remain available to be issued under the program.

Macerich is also under contract to sell 95% of its Paradise Valley Mall, a non-core asset in Phoenix, AZ, for $100 million to a newly formed joint venture. The transaction is expected to close in late March, and is anticipated to generate net proceeds of about $95 million. Macerich will retain a 5% joint venture interest in the multi-year redevelopment.

After the close of the new credit facility and the Paradise Valley sale, total liquidity is expected to be in the range of $1.65 billion to $1.85 billion, prior to paying off its current line of credit.

Macerich is a Santa Monica, Calif.-based real estate investment trust focused on regional and community shopping centers.

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