Manulife US REIT to clear 2025 loans with US$117m property divestment

It has US$130.7m in loans due by 2025.

Manulife US REIT will fully repay its US$130.7m ($167.3m) in loans due by 2025 using proceeds from the US$117m sale of 400 Capitol Mall in Sacramento, California, along with existing cash, by the end of 2024.

“Post-repayment, there will be no loan maturities until 2026,” the REIT said.

The REIT will divest the California asset to 400 CM Owner, LLC. The property is a 501,308 sq ft freehold 29-storey Class A office building in Downtown Sacramento.

The REIT will complete the divestment of the asset in Q4 2024. Post-divestment, Manulife US REIT will have nine properties in the United States, with a total net lettable area (NLA) of 4.6 million square feet.