PREIT Closes on Sale of Interest in Gloucester Premium Outlets, Reducing Debt by $35.4 Million
Marks key step in executing on the Company’s capital plan
PREIT (NYSE: PEI), today, announced that it has sold its 25% interest in the entity that owns Gloucester Premium Outlets.
The gross consideration to the Company from this transaction was $35.4 million, consisting of $14 million in cash plus $21.4 million of debt reduction, following assumption by the buyer. The cash portion of the proceeds were used to pay down the Company’s senior credit facility. This transaction represents a portion of the asset sale pipeline referenced in conjunction with the Company’s first quarter 2022 earnings release dated May 5, 2022 with $275 million of transactions in process.
“We continue to seek creative ways to harvest capital throughout our optimally-located platform,” said Joseph F. Coradino, Chairman and CEO of PREIT. “We are intently focused on reducing debt, improving our balance sheet and executing on meaningful transactions in the near-term as we plan to exercise the one year extension of our credit facility.”