CALGARY, Alberta--(EON: Enhanced Online News)--Walton Yellowhead Development Corporation (the "Corporation") announced today that the board of directors of the Corporation has approved the entering into a bridge loan facility (the "Loan") with an arm's length lender.
The Loan is a demand loan in the aggregate amount of $13,700,000, at an annual interest rate of prime plus 5.25%, and will be secured by, among other things, a mortgage on the Corporation's property. The maturity date of the Loan is 12 months following the first advance under the Loan. The Loan may be repaid by the Corporation prior to the maturity date without bonus or penalty, subject to the Corporation meeting certain payment conditions.
Funding of the Loan is subject to the Corporation complying with certain standard conditions.
The Corporation will use the Loan to repay amounts owing under the loan it received from an affiliate of Walton Global Investments Ltd., as announced on December 17, 2012. The Loan will also be used to fund construction costs and other working capital needs prior to the time the Corporation will be able to draw on the construction loan that the Corporation currently has in place for Phase 1 construction of the Yellowhead Property.
Launched in 2011, the Corporation owns a 131.4-acre industrial development within the Winterburn Industrial Park, in northwest Edmonton, Alberta, which is marketed under the name “Yellowhead Industrial Park.”
The Corporation is managed by Walton Asset Management L.P. and the development of the property is managed by Walton Development and Management (Alberta) LP, both of which are members of the Walton Group of Companies.
The Walton Group of Companies ("Walton") is a family-owned, multinational real estate investment, planning, and development group concentrating on the research, acquisition, administration, planning and development of strategically located land in major North American growth corridors. With over 78,000 acres of land under administration and management, Walton is one of North America's premier land asset administrators and managers.
Walton has been in business for over 30 years. It takes a long-term approach to land planning and development. Its industry-leading expertise in real estate investment, land planning and development uniquely positions Walton to responsibly transition land into sustainable communities where people live, work and play.
Its communities are comprehensively designed in collaboration with local residents for the benefit of all community stakeholders. Its goal is to build communities that will stand the test of time: hometowns for present and future generations.
For media inquiries, please contact: Rick Abbruzzese
This news release, required by Canadian laws, does not constitute an offer of securities, and is not for distribution or dissemination outside Canada. This news release contains forward looking information, and actual future results may differ from what is disclosed in this news release. The risks, uncertainties and other factors that could influence results are described in the Corporation's prospectus and other documents filed with Canadian securities regulatory authorities and available online at www.sedar.com.
Except as otherwise noted, all amounts are in Canadian dollars.