CIM Real Estate Finance Trust to sell shopping center portfolio for $1.3bn

CIM Real Estate Finance Trust to sell retail portfolio for $1.3bn

CIM Real Estate Finance Trust (CMFT) has entered into an agreement to sell all of its shopping centers to American Finance Trust(AFIN) for $1.3 billion.

The transaction is expected to close during the first quarter of 2022.

“This transaction represents a key milestone as CMFT sharpens its focus on its core business as a credit REIT that invests principally in senior secured loans and credit leases,” said Richard Ressler, Principal and Co-Founder of CIM Group.

The 81 properties included in the agreement have a weighted average lease term (WALT) of 5.0 years compared with CMFT’s remaining portfolio of 437 credit lease properties with a WALT of 10.8 years.

”Following the final close of the transaction, CMFT’s credit lease portfolio is expected to consist of 114 tenant concepts encompassing approximately 13.2 million gross rentable square feet of commercial space across 45 states. Those assets are 98.4% leased and represent 25 industry sectors. Additionally, CMFT’s senior secured loan portfolio totaled $1.6 billion as of September 30, 2021,” said CMFT in a statement.