Chambers Street Properties (NYSE:CSG): Renegotiates $1.2 Billion Line of Credit


Dallas, Texas 10/14/2013 (Financialstrend) – On September 27, real estate investment trust firm Chambers Street Properties (NYSE:CSG) declared quarterly dividend of $0.042 per share to its share holders of record as of October 31. The payout will happen on November 7 with the stock going ex dividend on October 29. Over the past 12 trailing months, the dividend payout by CSG adds up to $0.5 per share. This works out to an annual dividend yield of 5.5% which is on the lower side when compared to other REIT dividend payouts.

A day before on September 26, Chambers Street Properties in tandem with its 100% owned subsidiary CSP Operating Partnership, LP had entered into a new credit agreement with its current lenders. A consortium of banks led by Wells Fargo Bank has agreed to fund unsecured credit line of $850 million. In addition Chambers has negotiated two separate unsecured term loans adding up to $400 million. In all close to $1.25 billion of line of credit has been established by CSP. It hopes to funnel the same into its operations. The term of this credit facility will run till January 2018.

Chambers Street Properties operates in the real estate investment trust (REIT) space. It has extensive investments in office and industrial properties. Its recent addition to this portfolio was the acquisition of “Carpenter Corporate Center I and II” in August 2013. This consists of two-buildings adding up to 0.22 million square feet and is located in Texas.

The REIT company has a market cap of $2.26 billion with annual income over a 12 month trailing period adding up to $39.4 million. In the same period its sales numbers have ballooned up to $214 million. Over the past one month, the stock has appreciated by 7.32% and was trading at $9.09 per share as of close of business on October 11.