Author Topic: SRG - Seritage Growth Properties  (Read 535499 times)



BTShine

  • Hero Member
  • *****
  • Posts: 672
Re: SRG - Seritage Growth Properties
« Reply #631 on: July 30, 2018, 03:43:42 PM »
250,000 square feet (approximately) for that deal.  Good to see they're leveraging their national footprint.   

LongTermView

  • Sr. Member
  • ****
  • Posts: 339
Re: SRG - Seritage Growth Properties
« Reply #632 on: July 30, 2018, 07:18:11 PM »
Cool, how much rent is Blink paying per square foot?

crastogi

  • Full Member
  • ***
  • Posts: 152
  • RTNL
Re: SRG - Seritage Growth Properties
« Reply #633 on: July 30, 2018, 08:16:13 PM »
My question too..  I missed that in the release

And how much we re purposing cost?

Foreign Tuffett

  • Hero Member
  • *****
  • Posts: 1425
Former Teldar Paper Vice President

BTShine

  • Hero Member
  • *****
  • Posts: 672
Re: SRG - Seritage Growth Properties
« Reply #635 on: July 31, 2018, 01:51:34 PM »
Well, looks like they're able to refinance their debt.  This is amazing.

LongTermView

  • Sr. Member
  • ****
  • Posts: 339
Re: SRG - Seritage Growth Properties
« Reply #636 on: July 31, 2018, 02:20:25 PM »
Wow, amazing indeed:
Quote
On July 31, 2018, Seritage Growth Properties, L.P., a Delaware limited partnership (the “Borrower”), as borrower, and Seritage Growth Properties, a Maryland real estate investment trust (the “Company”), as guarantor, entered into a Senior Secured Term Loan Agreement (the “Loan Agreement”) providing for a $2.0 billion term loan facility (the “Term Loan Facility”) with Berkshire Hathaway Life Insurance Company of Nebraska (“Berkshire Hathaway”) as lender and Berkshire Hathaway as administrative agent. The Term Loan Facility provides for an initial funding of $1.6 billion at closing (the “Initial Funding”) and includes a committed $400 million incremental funding facility (the “Incremental Funding Facility”).

willie2013

  • Jr. Member
  • **
  • Posts: 62
Re: SRG - Seritage Growth Properties
« Reply #637 on: July 31, 2018, 02:32:08 PM »
Strange considering SRG probably still is a personal holding of Warren Buffett.

SlowAppreciation

  • Sr. Member
  • ****
  • Posts: 467
    • Slow Appreciation
Re: SRG - Seritage Growth Properties
« Reply #638 on: July 31, 2018, 04:18:31 PM »
This is interesting as it certainly clears up some uncertainty around SRG. But a few questions:

- why debt and not equity? Too small for BRK to own equity?
- Buffett has to disclose this right?
- does this make it more or less likely Buffett still owns in his PA?

RadMan24

  • Hero Member
  • *****
  • Posts: 547
Re: SRG - Seritage Growth Properties
« Reply #639 on: July 31, 2018, 04:48:45 PM »
Sears is going under sooner than later. This covers the $1 billion in estimated funding shortfall if Sears goes under, and they got it done before the distressed scenario, at decent rates. Equity would have been dilutive, debt can be paid off over time and accrective. Essentially, this removes a big downside risk, or at least mitigates it significantly. They still have to execute and its still essential to monitor sears' health.

But dang, what a move.