First Potomac Realty gets $50 million term loan at Libor plus 350 bps

By Sara Rosenberg

New York, Nov. 15 - First Potomac Realty Trust closed on a new $50 million three-month secured term loan that is priced at Libor plus 350 basis points, according to an 8-K filed with the Securities and Exchange Commission on Monday.

KeyBank is the lead bank on the deal that was completed on Nov. 10.

There is a three-month extension option.

The loan was obtained in connection with the company's acquisition of a 90% interest in a joint venture that owns 520 Gaither Road and 530 Gaither Road in Rockville, Md.

In addition, the company said in the filing that it plans on repaying some of the debt under the unsecured revolving credit facility using proceeds from the sale of 11.5 million of common shares that will generate net proceeds of $170.4 million.

Remaining proceeds will be used to fund the acquisition of properties and for working capital and general corporate purposes.

First Potomac is a Bethesda, Md.-based real estate investment trust focused on industrial properties and business parks.

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