Bedford Takes $40M Out of Six Properties

LAFAYETTE, CA- Bedford Property Investors Inc. has obtained $39.7 million of new first mortgage financing for six properties in California and Arizona. The locally based company is using the proceeds to pay down a portion of the outstanding balance of its revolving line of credit.

The revolving line of credit syndicated by Bank of America carries a variable interest rate. The new loans from John Hancock Life Insurance Co. have fixed rates in the mid-to-high 4% range.

The six new fixed-rate loans include: three five-year loans aggregating $11.8 million at a fixed-rate of 4.60%, which are collateralized by an office and two R & D properties in Northern California and two R & D properties in Arizona, and; three seven-year loans aggregating $27.9 million at a fixed rate of 4.95% that are collateralized by two office and one R & D properties in California.

With this mortgage financing, Bedford Property Investors has completed a total of $137.7 million of fixed-rate mortgage financing this year at a weighted average interest rate of 5.43%. In so doing, it has reduced its variable-rate debt to 21% of its total debt.