Update on MAC
Macerich provides update on rent collections, extension of loans
Byline: Dawood Fakhir
Macerich Co. said the rent collection rates for its portfolio progressed in 2020, increasing to approximately 89% in the third quarter and to 91% in the fourth quarter.
The retail landlord said about 4% of its gross rent balance from the nearly 200 national tenants remains unresolved.
Macerich said it agreed to repayment terms with and/or received payments for approximately 93% of its gross rent, and was negotiating terms with another 1%, while approximately 2% of its 200 national tenants filed for bankruptcy and have either liquidated or plan to liquidate their entire store fleet.
All of the company's properties resumed operations as of early October 2020 and remain open, while mall occupancy stood at 89.7% as of Dec. 31, 2020, compared to 94.0% at Dec. 31, 2019.
As of Feb. 1, the company has commitments for 43% of the leases expiring in 2021 and is in active lease negotiations on another 42% of the leases expiring in the current year.
On the loans front, a joint venture of Macerich closed a one-year extension of the $102.6 million loan on its FlatIron Crossing mall in Broomfield, Colo., pushing the maturity to Jan. 5, 2022.
The landlord also secured a three-year extension of the $270.6 million loan on its Green Acres Mall in Valley Stream, N.Y., which now matures Feb. 3, 2023.
Macerich is also negotiating for a new credit facility to replace its existing credit facility that expires July 6. The new credit facility may include a lower lending commitment and require security, the company said. |
