MPG Office Trust Announces Refinancing of Joint Venture Property

MPG Office Trust, Inc. MPG today announced the completion of the refinancing of the mortgage loan secured by One California Plaza, located in Downtown Los Angeles, with an up to $160.0 million mortgage loan facility. One California Plaza is owned by a joint venture between MPG and Charter Hall Office REIT CQO. MPG has a 20% interest in the joint venture. The Facility consists of a $140.0 million mortgage loan, which bears interest at a fixed rate of 4.775%, and an up to $20.0 million mortgage loan (the “Future Funding Loan”), which bears interest at a floating rate equal to one month LIBOR plus 3.0% (with a 4.0% floor). The Facility matures on July 1, 2016. Proceeds of the Future Funding Loan will be used to pay 60% of certain tenant improvement costs, leasing commissions and leasing-related capital expenses relating to certain existing and new leases at One California Plaza. Concurrently with the funding of any advance of the Future Funding Loan, the borrower under the Facility will be required to invest additional equity capital equal to 40% of the leasing costs to be paid with the proceeds of such advance.