The REIT loan program closes the loan i
DENVER, August 25, 2021
DENVER, 25 August 2021 / PRNewswire / – Farmland Partners Inc. (NYSE: REIT, Financial) (the “Company”) today announced the closing of a $ 2.1 million loan to a farmer of Michigan under the Company’s loan program (the “REIT Loan Program”). The loan matures in 2023 with a loan-to-value ratio of approximately 65%. This loan unlocked equity in the farmer’s land and was used to refinance the farmer’s existing credit facilities.
As part of the REIT Loan Program, the company leverages its existing infrastructure to quickly take out loans to meet borrowers’ financing needs, allowing farmers to generate cash from the land value that is often unavailable for farmers because of traditional lending practices. The Company expects farmer-borrowers to use the loan proceeds for a variety of purposes, including expanding operations, improving working capital, and supporting intergenerational transitions. The FPI loan program is expected to continue to complement the company’s current activities of acquiring agricultural land and leasing it to farmers. As part of the REIT loan program, the Company targets the origination of loans ranging from $ 500,000 around $ 10 million.
“We are happy to help this Michigan farm family refinance its balance sheet. Although the agricultural economy is strong, we believe there are opportunities for the company to provide profitable debt financing to high quality borrowers, ”said Paul pittman, CEO of the company.
For more information please contact Rich Keck To [email protected].
About Farmland Partners Inc.
Farmland Partners Inc. is an internally managed real estate company that owns and seeks to acquire high quality North American farmland and provides loans to farmers secured by farm real estate. As of the date of this release, the Company owns and / or manages approximately 161,000 acres in 16 states, including Alabama, Arkansas, California, Colorado, Florida, Georgia, Illinois, Kansas, Louisiana, Michigan, Mississippi, Nebraska, North Carolina, Caroline from the south, South Dakota and Virginia. We have around 26 types of crops and over 100 tenants. The Company elected to be taxed as a real estate investment trust, or REIT, for US federal income tax purposes, effective the tax year ended. December 31, 2014. Further information: www.farmlandpartners.com or (720) 452-3100.
This press release includes “forward-looking statements” within the meaning of federal securities laws. Forward-looking statements can generally be identified by the use of forward-looking terminology such as “could”, “should”, “could”, “would”, “predicted”, “,. “Anticipates”, “future”, “intends”, “plans”, “believes”, “estimates” or similar expressions or their negatives, as well as statements in the future. Although the Company believes that the expectations reflected in these forward-looking statements are based on reasonable assumptions, beliefs and expectations, these forward-looking statements are not predictions of future events or guarantees of future performance and our actual results could differ. substantially from those defined in forward-looking statements. Factors that could cause such a difference include: general volatility in capital markets and the market price of the Company’s common shares or Series B participating preferred shares, changes in the Company’s business strategy, the availability, conditions and deployment of capital, the ability of the Company to refinance existing debt on or before maturity on favorable terms, or not at all, availability of qualified personnel, changes in the industry of the Company, interest rates or the economy in general, adverse developments relating to crop yields or prices, the degree and nature of competition from the Company, timing, price or amount of redemptions , where applicable, within the framework of the Company’s share buyback program, the ability to carry out acquisitions or disposals under contract and the other factors described in section in titled “Risk Factors” in the Annual Report on Form 10-K for the year ended December 31, 2020, and other documents filed by the Company with the Securities and Exchange Commission. Any forward-looking information presented in this document is made only as of the date of this press release, and the Company does not undertake to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unforeseen events, or otherwise.
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SOURCE Farmland Partners Inc.