United Hampshire US REIT Completes US\$350 Million Loan Refinancing and Extends Debt Maturity to 2029 and Beyond

Key Highlights

• Enlarged Credit Facility: United Hampshire US REIT (UHREIT) has successfully refinanced and expanded its existing credit facilities to an aggregate of US\$350 million, a significant increase from the previous US\$250 million.
• Revolving Credit Facility Doubled: The revolving credit facility has been doubled to US\$100 million, providing greater financial flexibility.
• Staggered and Extended Maturities: The new facility features staggered maturity dates with extension options that could push final maturities as far as March 2030, substantially stretching out the debt profile.
• No Major Refinancing until 2028: With the new arrangements, UHREIT has no significant refinancing requirements until February 2028, removing near-term refinancing risk.
• Delayed Draw Term Loan: Includes a US\$50 million delayed draw tranche, available for up to 12 months, which may be used for acquisitions or to refinance the Upland Square Mortgage Loan maturing in November 2026.
• Weighted Average Debt Maturity Improved: The pro forma weighted average debt maturity increases from 1.6 years to 4.8 years, marking a significant improvement in the debt profile.
• Strong Banking Support: The facility was arranged with a consortium of prominent US and Canadian banks, including both existing and new lenders, reflecting confidence in UHREIT’s portfolio and management.

Details for Investors

United Hampshire US REIT, listed on the Singapore Exchange, has taken a major step to strengthen its financial position and enhance future growth flexibility by securing a US\$350 million refinancing package. This includes:

• US\$100 Million Revolver: The new revolving credit facility, now at US\$100 million (double the previous amount), allows the REIT to respond swiftly to acquisition opportunities and asset enhancement initiatives.
• US\$50 Million Delayed Draw Term Loan: This tranche can be tapped within 12 months for either refinancing the Upland Square Mortgage Loan (due November 2026) or for new acquisitions, giving management optionality.
• Extended Maturities: The new facility maturity dates start from November 2027, with options to stretch some components out to between November 2029 and March 2030.
• Debt Profile: After this refinancing, the REIT’s pro forma weighted average debt maturity extends to 4.8 years from 1.6 years previously, significantly reducing medium-term refinancing risk.
• No Major Refinancing Risk: There are no significant refinancing requirements until at least February 2028, assuming extension options are exercised and the delayed draw term loan is used as planned.

Potential Price-Sensitive Information for Shareholders

• Reduced Refinancing Risk: The major extension of debt maturities and no significant refinancing needs until 2028 could be viewed very positively by investors, as it reduces near-term liquidity and refinancing risks.
• Capacity for Growth: With the enlarged revolving credit and delayed draw term loan, UHREIT is well positioned to pursue new acquisitions or asset enhancement projects, supporting potential NAV and DPU growth.
• Banker Confidence: Support from both old and new lenders, including US and Canadian banks, is a strong endorsement of UHREIT’s asset quality and management, potentially increasing investor confidence.
• Improved Flexibility: The facility’s structure (including delayed draw and revolver) grants management significant flexibility to respond to market opportunities.

About United Hampshire US REIT and Its Sponsors

• Portfolio Overview: UHREIT holds 20 predominantly freehold grocery-anchored and necessity-based retail properties and two self-storage properties in the US, primarily on the East Coast, with an appraised value of US\$751 million and 3.6 million sq. ft. of net lettable area.
• Sponsor UOB Global Capital LLC: A subsidiary of United Overseas Bank Limited, with US\$4.1 billion AUM as of December 2024, operating from New York and Paris.
• Sponsor The Hampshire Companies, LLC: A leading US real estate firm with over 60 years’ experience and US\$2.6 billion AUM, managing a diversified portfolio of 170 properties totaling 14 million sq. ft. It is also the asset manager for UHREIT.
• Joint Ventures: UOB Global Capital and The Hampshire Companies have jointly formed three funds with a combined AUM of about US\$1.3 billion, focused on income-producing US real estate assets.

Statements from Management

Mr. Gerard Yuen, CEO of the Manager of UHREIT, highlighted the strong support from banking partners as a reflection of the REIT’s solid fundamentals and portfolio resilience. He emphasized that the new facilities significantly enhance the REIT’s debt maturity profile and provide the financial flexibility needed for future value creation.

Investor Information

• For more information, visit https://www.uhreit.com/
• Enquiries can be directed to Wong Siew Lu, CFA, CA (Singapore), Head of Investor Relations and Sustainability at [email protected] or via phone at +65 6797 9010 (Office Hours).

Disclaimer

This article is provided for informational purposes only and does not constitute or form part of an offer, invitation, or solicitation to acquire, purchase, or subscribe for any units in United Hampshire US REIT. Investors should note that investments in REITs are subject to investment risks, including the possible loss of the principal amount invested. Past performance is not indicative of future performance, and forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially. The information herein is not intended as investment advice and should not be relied upon as such. Please consult your own professional advisors before making any investment decisions.

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