CBL Properties Completes Partial Redemption of 10% Senior Secured Notes Utilizing Proceeds From New $65 Million Secured Non-Recourse Financing

May 26, 2022 at 12:30 PM EDT

CBL Properties (NYSE: CBL) today announced that it has completed a partial redemption of outstanding 10% Senior Secured Notes. The Notes were redeemed utilizing CBL’s share of net proceeds from the previously announced new $65.0 million non-recourse loan.

“We are thrilled to close this new 10-year fixed-rate loan and complete the partial notes redemption,” said Stephen Lebovitz, chief executive officer, CBL Properties. “The 62% loan-to-value, which is based on approximately a 7% cap rate, is an excellent third-party validation of the significant value underlying our asset base. We continue to make additional progress on our goal of redeeming the $335 million of remaining 10% Notes and look forward to making an announcement in the near term.”

Today, the Company’s wholly owned subsidiary, CBL & Associates Holdco II, LLC (the “Issuer”) completed the redemption of $60.0 million aggregate principal amount of its 10% Senior Secure Notes due 2029 (the “10% Notes”), pursuant to the terms of the indenture governing the 10% Notes. Following the redemption, $335.0 million principal amount of 10% Notes will remain outstanding.

The new $65 million CMBS non-recourse loan is secured by a pool of open-air centers owned in a 92/8 joint venture and located in Chattanooga, TN. The open-air centers include Hamilton Crossing, Hamilton Corner, The Terrace and The Shoppes at Hamilton Place (including the Regal theater). The loan has a ten-year term with a fixed interest rate of 5.85%, interest only for three years and principal reduction based on a 30-year amortization schedule thereafter.

About CBL Properties

Headquartered in Chattanooga, TN, CBL Properties owns and manages a national portfolio of market-dominant properties located in dynamic and growing communities. CBL’s owned and managed portfolio is comprised of 95 properties totaling 59.6 million square feet across 24 states, including 57 high-quality enclosed malls, outlet centers and lifestyle retail centers as well as more than 30 open-air centers and other assets. CBL seeks to continuously strengthen its company and portfolio through active management, aggressive leasing and profitable reinvestment in its properties. For more information visit cblproperties.com.

Information included herein contains “forward-looking statements” within the meaning of the federal securities laws. Such statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual events, financial and otherwise, may differ materially from the events and results discussed in the forward-looking statements. The reader is directed to the Company’s various filings with the Securities and Exchange Commission, including without limitation the Company’s Annual Report on Form 10-K and the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” included therein, for a discussion of such risks and uncertainties.

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Contacts

Investor Contact: Katie Reinsmidt, Executive Vice President & Chief Investment Officer, 423.490.8301, Katie.Reinsmidt@cblproperties.com

Media Contact: Stacey Keating, Vice President– Corporate Communications, 423.490.8361, Stacey.Keating@cblproperties.com

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CBL Properties Completes Partial Redemption of 10% Senior Secured Notes Utilizing Proceeds From New $65 Million Secured Non-Recourse Financing

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