28th Apr 2016 07:55
LONDON (Alliance News) - Standard Life Investments Property Income Trust Ltd on Thursday said it agreed a debt refinancing with Royal Bank of Scotland PLC.
RBS is allowing the property investor to extend GBP145 million of its existing GBP155 million debt facility, Standard Life Investments Property Income Trust said in a statement.
The debt facility consists of a GBP110 million seven-year term loan facility and a GBP35 million five-year revolving credit facility. Interest is payable on the term loan at the London interbank offered rate plus 1.375 percentage points and on the revolving credit facility at Libor plus 1.2 points.
The revolving credit facility may be extended by one year on two occasions, according to Standard Life Investments Property Income Trust, which said it has drawn down the entire GBP145 million. The company's loan-to-value ratio stands at about 29.5%, in line with the targeted range of between 25% and 35%. The interest cover for the company is now almost nine times.
The loan is secured over the company's portfolio of property investments, including new security over the majority of the 22 properties acquired in December 2015.
Shares in Standard Life Investments Property Income Trust were down 0.4% at 87.18 pence on Thursday.
By Samuel Agini; [email protected]; @samuelagini
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