PREIT Completes Key Steps in Extending Debt Maturities

Closes over $172 million in mortgage loans secured by four properties

PREIT (NYSE: PEI), a leading real estate owner and developer, redefining the future of the mall with mixed-use community-centric districts, today announced that it has entered into over $172 million of mortgage loans, in the aggregate and reflecting the Company’s share.  The mortgages are secured by Viewmont Mall, Francis Scott Key Mall, and two of the Company’s joint venture open-air assets, Court at Oxford Valley and Red Rose Commons, extending all of the Company’s near-term maturities.

Key terms of the financings include:

• Viewmont Mall
  • $67.2 million
  • Term: 3 years with 1-year extension option
  • Interest at 3.6% over LIBOR
• Francis Scott Key Mall
  • $60.5 million
  • Term: 3 years with 1-year extension option
  • Interest at 3.6% over LIBOR
• Court at Oxford Valley
  • $27.5 million at Company’s share
  • Term: 10 years
  • Interest is a fixed rate of 3.2%
• Red Rose Commons
  • $17.0 million at Company’s share
  • Term: 10 years
  • Interest is a fixed rate of 3.28%

“As we continue to experience momentum in our business, we are pleased to complete these refinancing transactions, which are key elements in PREIT’s balance sheet repositioning as we move forward in executing on our plan to strengthen our portfolio with a transformative vision for our properties to create a more powerful business model,” said Joseph F. Coradino, PREIT Chairman and CEO. “In addition to achieving our business plan NOI objectives, executing on maturity extensions and raising capital to ultimately reduce debt are key pillars of PREIT’s plan to improve our balance sheet.”