Roberts Realty Investors, Inc. Signs Commitment to Refinance
Addison Place Apartments
ATLANTA, July 19 /PRNewswire-FirstCall/ -- Roberts Realty Investors, Inc. (AMEX:RPI) announces it has signed a $21,000,000 loan commitment to refinance
the 285-unit second phase of its Addison Place apartment community for ten
years at a fixed interest rate of 6.35%. The company has entered into the loan
commitment with the Federal Home Loan Mortgage Corporation ("Freddie Mac") and
expects to close the loan when the existing $22,200,000 loan matures in May
2005.
Mr. Charles S. Roberts, the company's CEO, stated: "We have taken advantage of
today's low interest rates to obtain excellent long-term financing for Addison
Place. This commitment protects us against the possibility of interest rates
moving significantly higher in 2005. This new loan lowers the interest rate on
Addison Place phase II from 8.62% to 6.35%, which will increase the company's
cash flow by approximately $500,000 per year or $.07 per share beginning in
June 2005, thereby enhancing shareholder value." This press release contains forward-looking statements within the meaning of
the securities laws. Although the company believes the expectations reflected
in the forward-looking statements are based on reasonable assumptions, the
company's actual results could differ materially from those anticipated in the
forward-looking statements. Certain factors that might cause such a difference
include, but are not limited to, the company's failure to close the refinancing
as anticipated due to, among other things, (a) the occurrence of a material
adverse change in the condition of the property, or (b) the failure of the
property's occupancy rates and rents to meet the minimum requirements described
in the loan commitment. DATASOURCE: Roberts Realty Investors, Inc.
CONTACT: Greg M. Burnett, Chief Financial Officer of Roberts Realty Investors, Inc., +1-770-394-6000, or fax, +1-770-551-5914
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