UMH Properties Inc., a public equity REIT, has successfully completed the refinancing of its Highland Estates community through Wells Fargo Bank N. A. The total proceeds was approximately $16.8 million.
The Federal Home Loan Mortgage Corp. mortgage loan has a 10-year maturity with principal repayments based on a 30-year amortization schedule. Interest on this mortgage is at 4.12%.
According to a prepared statement, proceeds from the mortgage were primarily used to repay the existing 6.175% mortgage, which had a balance of approximately $9 million.
Anna T. Chew, VP and CFO, said in a prepared statement that “We are very pleased with our relationships with Wells Fargo Bank and Freddie Mac. We appreciate their continued support. This new loan demonstrates the increasing value of our communities and the financial flexibility of our company, allowing us to further execute our long-term growth strategy.”
UMH Properties was organized in 1968 and owns and operates 107 manufactured home communities with approximately 19,400 developed homesites. The communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Michigan and Maryland. In addition, the company owns a portfolio of REIT securities.