Equity Residential units obtain $800 million of secured loans due 2023

By Marisa Wong

Madison, Wis., Nov. 5 - Some subsidiaries of Equity Residential's subsidiary and operating partnership, ERP Operating LP, obtained $800 million of loans under three separate loan agreements on Oct. 31, according to an 8-K filing with the Securities and Exchange Commission.

The loans, which bear interest at an annual fixed rate of 4.21%, require monthly interest-only payments with the principal balance due and payable on Nov. 10, 2023.

Cash proceeds from the loans were used toward the $825 million repayment of a $1.27 billion secured loan due 2017 that ERP subsidiaries assumed after Equity Residential acquired a portion of the Archstone apartment community portfolio in February 2013.

The new loans may not be prepaid prior to Dec. 10, 2014.

The loans are secured by 13 properties owned by the ERP subsidiaries.

Equity Residential acquires and manages apartment properties and is based in Chicago.

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