Business
Debt Refinancing
Debt Refinancing.
About this update from Abrdn Property Income Trust Limited
[{"type":"text","content":"\n \nTo: RNS\n\nFrom: Standard Life Investments Property Income Trust Limited\n\nDate: 28 April 2016\n\nSTANDARD LIFE INVESTMENTS PROPERTY INCOME TRUST LIMITED\n\nDebt Refinancing\n\nStandard Life Investments Property Income Trust Limited (the \"Company\") announces that Standard Life Investments Property Holdings Limited (the \"Property Subsidiary\"), a wholly owned subsidiary of the Company, and various subsidiaries of Standard Life Investments Property Holdings Limited (the \"Group\") has entered into an agreement to extend £145 million of its existing £155 million debt facility with The Royal Bank of Scotland plc (\"RBS\"). The debt facility consists of a £110 million 7 year term loan facility (the \"Term Loan\") and a £35 million 5 year revolving credit facility (the \"Revolving Credit Facility\"). The Revolving Credit Facility may by agreement be extended by one year on two occasions. £145 million has been drawn down by the Group and its loan to value currently stands at approximately 29.5 per cent. which is in line with the Board's stated target level of between 25 per cent. and 35 per cent. loan to value. The interest cover for the Group is now approximately 780% per cent.\n\nInterest is payable on the Term Loan at LIBOR plus 1.375% and on the Revolving Credit Facility at LIBOR plus 1.2%. This equates to a rate of 2.725% on the Term Loan (including an interest rate swap entered into between the Property Subsidiary and The Royal Bank of Scotland plc) and 1.78% on the Revolving Credit Facility (based on LIBOR of 0.58% as at 27 April 2016) which together give an attractive current blended rate of 2.5% (based on the Revolving Credit Facility being fully drawn)\n\nThe loan is secured over the Group's existing property portfolio including new security over the majority of the 22 properties acquired in December 2015.\n\nThe restated facility agreement includes terms that are typical for a facility of this nature, including loan to value (a maximum of 60% for the first five years and 55% thereafter) and interest cover ratio covenants (not less than 175% for the term of the facility) and the ability to substitute properties in the security pool.\n\nThe Revolving Credit Facility is to be available for ...