America First Multifamily Investors, L.P. Extends Maturity of $50 Million Line of Credit

Rhea-AI Summary

On August 23, 2021, America First Multifamily Investors, L.P. (NASDAQ: ATAX) amended its credit agreement with Bankers Trust Company, establishing a secured non-operating line of credit of up to $50 million. This agreement extends the maturity date to June 30, 2023, and grants first priority security on a custody account for investments made using this credit. CEO Kenneth C. Rogozinski highlighted the line of credit as a vital liquidity management tool for investment acquisitions.

Positive

• Secured a $50 million non-operating line of credit enhancing liquidity.
• Maturity date extended to June 30, 2023, providing additional time for financing.

Negative

• None.

OMAHA, Neb., Aug. 25, 2021 (GLOBE NEWSWIRE) -- On August 23, 2021, America First Multifamily Investors, L.P. (NASDAQ: ATAX) (the “Partnership”) entered into an Amended and Restated Credit Agreement (the “Amended Credit Agreement”) with Bankers Trust Company (“Bankers Trust”) for a secured non-operating line of credit (“Non-operating LOC”) with a maximum commitment of $50 million. The Amended Credit Agreement modifies certain provisions of the Partnership’s previous Credit Agreement with Bankers Trust dated May 14, 2015, as amended, including extension of the maturity date to June 30, 2023, and provides a first priority security interest in a custody account that will contain the Partnership’s investments purchased with advances on the Non-operating LOC. The Partnership also entered into a new Revolving Note which bears interest at the Wall Street Journal Prime Rate plus a margin.

“The Amended Credit Agreement continues our strong relationship with Bankers Trust. The $50 million Non-operating LOC is a great source of funding for our investment acquisitions and provides a valuable tool for managing our liquidity,” said Kenneth C. Rogozinski, Chief Executive Officer of the Partnership.

About America First Multifamily Investors, L.P.

America First Multifamily Investors, L.P. was formed on April 2, 1998 under the Delaware Revised Uniform Limited Partnership Act for the primary purpose of acquiring, holding, selling and otherwise dealing with a portfolio of mortgage revenue bonds which have been issued to provide construction and/or permanent financing for affordable multifamily, student housing and commercial properties. The Partnership is pursuing a business strategy of acquiring additional mortgage revenue bonds and other investments on a leveraged basis. The Partnership expects and believes the interest earned on these mortgage revenue bonds is excludable from gross income for federal income tax purposes. The Partnership seeks to achieve its investment growth strategy by investing in additional mortgage revenue bonds and other investments as permitted by the Partnership’s Amended and Restated Limited Partnership Agreement, dated September 15, 2015, taking advantage of attractive financing structures available in the securities market, and entering into interest rate risk management instruments. America First Multifamily Investors, L.P. press releases are available at www.ataxfund.com.

Safe Harbor Statement

Certain statements in this report are intended to be covered by the safe harbor for “forward-looking statements” provided by the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by use of statements that include, but are not limited to, phrases such as “believe,” “expect,” “future,” “anticipate,” “intend,” “plan,” “foresee,” “may,” “should,” “will,” “estimates,” “potential,” “continue,” or other similar words or phrases. Similarly, statements that describe objectives, plans, or goals also are forward-looking statements. Such forward-looking statements involve inherent risks and uncertainties, many of which are difficult to predict and are generally beyond the control of the Partnership. The Partnership cautions readers that a number of important factors could cause actual results to differ materially from those expressed in, implied, or projected by such forward-looking statements. Risks and uncertainties include, but are not limited to: risks involving current maturities of financing arrangements and our ability to renew or refinance such maturities, fluctuations in short-term interest rates, collateral valuations, mortgage revenue bond investment valuations and overall economic and credit market conditions; and the other risks detailed in the Partnership’s SEC filings (including but not limited to, the Partnership’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K). Readers are urged to consider these factors carefully in evaluating the forward-looking statements.

MEDIA CONTACT:
Karen Marotta
Greystone
212-896-9149
Karen.Marotta@greyco.com

INVESTOR CONTACT:
Andy Grier
Senior Vice President
402-952-1235

FAQ

What is the purpose of the $50 million line of credit for ATAX?

The $50 million line of credit is intended to manage liquidity and fund investment acquisitions.

When is the maturity date for America First Multifamily Investors' new credit agreement?

The maturity date for the new credit agreement is June 30, 2023.

Who is the CEO of America First Multifamily Investors?

The CEO of America First Multifamily Investors is Kenneth C. Rogozinski.

What type of credit agreement did ATAX enter with Bankers Trust?

ATAX entered into an Amended and Restated Credit Agreement for a secured non-operating line of credit.