Quarterly report pursuant to Section 13 or 15(d)

Loans Payable

v3.20.1
Loans Payable
3 Months Ended
Mar. 31, 2020
Debt Disclosure [Abstract]  
Loans Payable
Loans Payable

The Company’s loans payable consist of the following (in thousands, except monthly payment):
Property/Description
 
Monthly Payment
 
Interest
Rate
 
Maturity
 
March 31, 2020
 
December 31,
2019
 KeyBank Credit Agreement (6)
 
$
350,000

 
LIBOR + 350 basis points

 
Various (6)
 
$
9,300

 
$
17,879

 Rivergate
 
$
127,267

 
LIBOR + 295 basis points

 
March 2020
 
21,402

 
21,545

 Columbia Fire Station (1)
 
$
25,452

 
4.00
%
 
May 2020
 
4,015

 
4,051

 Tuckernuck
 
$
33,880

 
3.88
%
 
May 2020
 
5,294

 
5,344

 First National Bank Line of Credit (7)
 
$
24,656

 
LIBOR + 300 basis points

 
September 2020
 
1,156

 
1,214

 Lumber River
 
$
10,723

 
LIBOR + 350 basis points

 
October 2020
 
1,390

 
1,404

 JANAF Bravo
 
$
36,935

 
4.65
%
 
January 2021
 
6,336

 
6,372

 Walnut Hill Plaza
 
$
26,850

 
5.50
%
 
September 2022
 
3,730

 
3,759

 Litchfield Market Village
 
$
46,057

 
5.50
%
 
November 2022
 
7,418

 
7,452

 Twin City Commons
 
$
17,827

 
4.86
%
 
January 2023
 
2,966

 
2,983

 New Market
 
$
48,747

 
5.65
%
 
June 2023
 
6,663

 
6,713

 Benefit Street Note (3)
 
$
53,185

 
5.71
%
 
June 2023
 
7,308

 
7,361

 Deutsche Bank Note (2)
 
$
33,340

 
5.71
%
 
July 2023
 
5,624

 
5,642

 JANAF
 
$
333,159

 
4.49
%
 
July 2023
 
50,173

 
50,599

 Tampa Festival
 
$
50,797

 
5.56
%
 
September 2023
 
8,038

 
8,077

 Forrest Gallery
 
$
50,973

 
5.40
%
 
September 2023
 
8,342

 
8,381

 Riversedge North
 
$
11,436

 
5.77
%
 
December 2023
 
1,758

 
1,767

 South Carolina Food Lions Note (5)
 
$
68,320

 
5.25
%
 
January 2024
 
11,624

 
11,675

 Cypress Shopping Center
 
$
34,360

 
4.70
%
 
July 2024
 
6,239

 
6,268

 Port Crossing
 
$
34,788

 
4.84
%
 
August 2024
 
6,002

 
6,032

 Freeway Junction
 
$
41,798

 
4.60
%
 
September 2024
 
7,690

 
7,725

 Harrodsburg Marketplace
 
$
19,112

 
4.55
%
 
September 2024
 
3,398

 
3,416

 Bryan Station
 
$
23,489

 
4.52
%
 
November 2024
 
4,373

 
4,394

 Crockett Square
 
Interest only

 
4.47
%
 
December 2024
 
6,338

 
6,338

 Pierpont Centre
 
$
39,435

 
4.15
%
 
February 2025
 
8,100

 
8,113

 Shoppes at Myrtle Park
 
$
33,180

 
4.45
%
 
February 2025
 
5,988

 

 Folly Road
 
$
41,482

 
4.65
%
 
March 2025
 
7,350

 
5,922

 Alex City Marketplace
 
 Interest only

 
3.95
%
 
April 2025
 
5,750

 
5,750

 Butler Square
 
 Interest only

 
3.90
%
 
May 2025
 
5,640

 
5,640

 Brook Run Shopping Center
 
 Interest only

 
4.08
%
 
June 2025
 
10,950

 
10,950

 Beaver Ruin Village I and II
 
 Interest only

 
4.73
%
 
July 2025
 
9,400

 
9,400

 Sunshine Shopping Plaza
 
 Interest only

 
4.57
%
 
August 2025
 
5,900

 
5,900

 Barnett Portfolio (4)
 
 Interest only

 
4.30
%
 
September 2025
 
8,770

 
8,770

 Fort Howard Shopping Center
 
 Interest only

 
4.57
%
 
October 2025
 
7,100

 
7,100

 Conyers Crossing
 
 Interest only

 
4.67
%
 
October 2025
 
5,960

 
5,960

 Grove Park Shopping Center
 
 Interest only

 
4.52
%
 
October 2025
 
3,800

 
3,800

 Parkway Plaza
 
 Interest only

 
4.57
%
 
October 2025
 
3,500

 
3,500

 Winslow Plaza
 
$
41,482

 
4.82
%
 
December 2025
 
4,603

 
4,620

 JANAF BJ's
 
$
29,964

 
4.95
%
 
January 2026
 
4,929

 
4,957

 Chesapeake Square
 
$
23,857

 
4.70
%
 
August 2026
 
4,336

 
4,354

 Berkley/Sangaree/Tri-County
 
Interest only

 
4.78
%
 
December 2026
 
9,400

 
9,400

 Riverbridge
 
Interest only

 
4.48
%
 
December 2026
 
4,000

 
4,000

 Franklin Village
 
$
45,336

 
4.93
%
 
January 2027
 
8,494

 
8,516

 Village of Martinsville
 
$
89,664

 
4.28
%
 
July 2029
 
16,258

 
16,351

 Laburnum Square
 
Interest only

 
4.28
%
 
September 2029
 
7,665

 
7,665

Total Principal Balance (1)
 
 
 
 
 
 
 
344,470

 
347,059

Unamortized debt issuance cost (1)
 
 
 
 
 
 
 
(4,189
)
 
(4,172
)
Total Loans Payable, including assets held for sale
 
 
 
 
 
 
 
340,281

 
342,887

Less loans payable on assets held for sale, net loan amortization costs
 
 
 
 
4,004

 
1,974

Total Loans Payable, net
 
 
 
 
 
 
 
$
336,277

 
$
340,913

(1) Includes loans payable on assets held for sale, see Note 3.
(2) Collateralized by LaGrange Marketplace, Ridgeland and Georgetown.
(3) Collateralized by Ladson Crossing, Lake Greenwood Crossing and South Park.
(4) Collateralized by Cardinal Plaza, Franklinton Square, and Nashville Commons.
(5) Collateralized by Clover Plaza, South Square, St. George, Waterway Plaza and Westland Square.
(6) Collateralized by Darien Shopping Center, Devine Street, Lake Murray, Moncks Corner and South Lake. The various maturity dates are disclosed below within Note 5 under the KeyBank Credit Agreement.
(7) Collateralized by Surrey Plaza and Amscot Building.
KeyBank Credit Agreement
 
As of March 31, 2020, the Company has borrowed $9.30 million under the Amended and Restated Credit Agreement ("KeyBank Credit Agreement") with KeyBank National Association ("KeyBank"), which is collateralized by five properties. At March 31, 2020, the outstanding borrowings are accruing interest at 4.46%.

The KeyBank Credit Agreement had the following activity during the three months ended March 31, 2020:
Entered into the Second Amendment to the KeyBank Credit Agreement (the "Second Amendment") on January 24, 2020, effective December 21, 2019, and the Company began making monthly principal payments of $350 thousand on November 1, 2019. The Second Amendment, among other provisions, requires a pledge of additional collateral of $15.00 million in residual equity interests. Additionally, the Second Amendment provided that the outstanding balance on the KeyBank Credit Agreement shall be reduced to $10.00 million by January 31, 2020, $2.00 million by April 30, 2020 and fully matures on June 30, 2020. Although the Company has made and continues to make the required monthly principal payments, the Company did not meet the April 30, 2020 required outstanding balance paydown. The Company remains in negotiations with KeyBank to extend the maturity date to December 31, 2020. Additionally, KeyBank has agreed to allow the Company to retain the $1.26 million in proceeds received from the Folly Road refinance during negotiations. As of May 12, 2020, the balance on the KeyBank Credit Agreement is $8.60 million.
The following collateralized portions of the KeyBank Credit Agreement had principal paydowns associated with each property’s refinancing or sale as noted below:
$1.78 million paydown from St. Matthews sale proceeds on January 21, 2020; and
$5.75 million paydown from Shoppes at Myrtle Park refinancing proceeds on January 23, 2020.

Shoppes at Myrtle Park Refinance

On January 23, 2020, the Company refinanced the Shoppes at Myrtle Park collateralized portion of the KeyBank Credit Agreement for $6.00 million at a fixed interest rate of 4.45%, resulting in a paydown of $5.75 million on the KeyBank Credit Agreement. The loan matures in February 2025 with monthly principal and interest payments of $33 thousand.

Rivergate Extension

On January 30, 2020, effective December 21, 2019, the Company and Synovus Bank agreed to extend the loan maturity to March 20, 2020. Subsequent to March 31, 2020 the Company entered into a Second Amendment with Synovus Bank to the Rivergate Loan which extends the maturity date to June 20, 2020.

Folly Road Refinance

On March 23, 2020, the Company executed a promissory note for $7.35 million for the refinancing of Folly Road at a rate of 4.65%. The loan matures in March 2025 with monthly principal and interest payments of $41 thousand.

Debt Maturity

The Company’s scheduled principal repayments on indebtedness as of March 31, 2020, including assets held for sale, are as follows (in thousands, unaudited):
For the remaining nine months ended December 31, 2020
$
46,171

December 31, 2021
11,394

December 31, 2022
15,848

December 31, 2023
85,537

December 31, 2024
44,240

December 31, 2025
91,426

Thereafter
49,854

    Total principal repayments and debt maturities
$
344,470

 

The Company has considered its short-term (one year or less) liquidity needs and the adequacy of its estimated cash flows from operating activities and other expected financing sources to meet these needs. In particular, the Company has considered its scheduled debt maturities for the twelve months ending March 31, 2021 of $53.78 million. The Company plans to pay this obligation through a combination of refinancings, dispositions and operating cash. All loans due to mature are collateralized by properties within the portfolio. Additionally, the Company expects to meet the short-term liquidity requirements, through a combination of the following:

suspension of Series A Preferred, Series B Preferred and Series D Preferred dividends;
available cash and cash equivalents;
cash flows from operating activities;
refinancing of maturing debt;
loan forbearance;
possible sale of six undeveloped land parcels; and
sale of additional properties, if necessary.

Management is currently working with lenders to refinance certain properties off of the KeyBank Credit Agreement in an effort to reduce the balance prior to maturity. The loans are expected to have customary interest rates similar to current loans. They are subject to formal lender commitment, definitive documentation and customary conditions.