Chatham Financial Completes the Defeasance of $76.91 Million Portfolio of CMBS Debt for Primus Capital

KENNETT SQUARE, Pa., June 21 /PRNewswire/ -- Chatham Financial announced today that it advised Primus Capital in the defeasance of $76.9 million in debt secured by twelve properties held in two CMBS securitizations. The defeasance of the loans, which are scheduled to mature in 2018, facilitated the sale of the 12 movie theater properties.

Chatham Financial managed the defeasance process from start to finish, coordinating the efforts of servicers, ratings agencies, and other third parties to ensure the defeasance closed simultaneously with the underlying real estate transaction. Chatham's expertise in regards to the different types of permitted defeasance collateral and their coordination of the purchase of the securities resulted in a direct savings of more than $380,000 for Primus.  

"We were able to utilize the favorable terms of the original loan agreements to return significant value to Primus at closing.  It is important for borrowers to consider their defeasance terms at origination in order to position themselves for an agreeable result in the event that they need to defease in the future," said Jodi Eppler, director of defeasance services at Chatham Financial.

David Pardue, a principal in Primus Capital stated, "Engaging Chatham to act as our defeasance consultant was a significant factor in our ability to close this transaction on time and within budget. I couldn't imagine going through another defeasance without Chatham by our side."

About Chatham Financial

Chatham Financial is the largest independent interest rate and foreign currency risk advisor, and a recognized leader in accounting, valuations, defeasance, and debt advisory worldwide. Chatham provides innovative solutions in both the derivative and debt markets through a powerful combination of advisory services and market-tested technology solutions. Located in Kennett Square, PA, Denver, CO, Singapore, London, and Krakow, Chatham advises on over $350bn in transactions for over 1,000 market leading firms globally. For more information please visit www.chathamfinancial.com.

About Primus Capital

Primus Capital and its principals, David Pardue and Jay Tanenbaum have engaged in structuring, purchasing or financing net leased commercial real estate for over 35 years, completing over $2 billion in transactions.   Affiliates are also engaged in golf course investment and management, select venture investing, and in corporate financial advisory for Chinese companies interested in the U.S. capital markets. For more information, contact David Pardue at [email protected], or Jay Tanenbaum at [email protected].

SOURCE Chatham Financial