Bullish indicating open at $55-$60, IPO prices at $37
OMAHA - Greystone Housing Impact Investors LP (NYSE:GHI), a $272 million market cap company known for its impressive 10.45% dividend yield, has entered into a new credit agreement with five financial institutions for an $80 million secured revolving line of credit, the company announced Monday. According to InvestingPro, GHI has maintained consistent dividend payments for 40 consecutive years.
The new acquisition credit line, with Bankers Trust Company serving as administrative agent, replaces the partnership’s previous $50 million credit agreement from August 2021. The $30 million increase represents a 60% expansion in available credit. InvestingPro data shows the company maintains a healthy current ratio of 1.04 and an Altman Z-Score of 3.72, indicating solid financial stability.
According to the press release, the credit line will provide temporary financing for GHI’s investment purchases, with advances expected to be repaid from traditional debt financing sources such as Tender Option Bond financing or similar securitization transactions.
Outstanding balances on the credit line will bear interest at Term SOFR plus 2.50%, with an overall floor of 2.60%. The facility has a stated maturity of June 2027, with an option to extend to June 2029 subject to customary conditions and fees.
"The $30 million increase in the size of our Acquisition LOC demonstrates our strong relationships with bank lenders and provides the Partnership with additional capacity for effectively managing our capital and liquidity positions," said Kenneth C. Rogozinski, Chief Executive Officer of the Partnership.
Greystone Housing Impact Investors LP focuses on acquiring and managing mortgage revenue bonds that provide financing for affordable multifamily, seniors, and student housing properties. The partnership expects the interest earned on these mortgage revenue bonds to be excludable from gross income for federal income tax purposes.
The information in this article is based on a company press release statement. For deeper insights into GHI’s financial health, valuation metrics, and expert analysis, including additional ProTips and comprehensive financial metrics, check out the detailed Pro Research Report available on InvestingPro.
In other recent news, Greystone Housing Impact Investors reported their first-quarter 2025 earnings, showing mixed results. The company posted earnings per share of $0.11, falling short of the forecasted $0.24, but revenue exceeded expectations, coming in at $25.12 million compared to the anticipated $22.83 million. Despite the revenue beat, the earnings miss raised concerns among investors. Additionally, Greystone Housing Impact Investors amended its $50 million credit facility, extending the maturity date to June 2027 and increasing allowable investments in seniors housing joint ventures. BankUnited, N.A. remains the sole arranger for this facility. On the analyst front, JMP Securities maintained a Market Outperform rating for Greystone Housing, with a $16 price target, highlighting the company’s ongoing capital deployment in the affordable housing sector. The firm’s recent joint venture investments are expected to positively impact earnings, with a projected $0.08 gain per Beneficial Unit Certificate in the upcoming quarter. These developments reflect Greystone’s strategic focus on expanding its joint venture equity investments and managing its financial portfolio.
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