On October 23, 2024, Seritage Growth Properties announced a voluntary prepayment of $25 million towards its $1.6 billion term loan facility provided by Berkshire Hathaway Life Insurance Company of Nebraska. This action is part of the company's ongoing strategy to reduce its debt obligations.
With this prepayment, the total amount repaid on the term loan facility since December 2021 has reached $1.345 billion. The outstanding balance on the facility now stands at $255 million.
The current prepayment is expected to reduce Seritage's total annual interest expense related to the term loan facility by approximately $1.75 million. Cumulative repayments since December 2021 have resulted in an approximate annual interest expense reduction of $94.1 million.
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