New England Realty secures $58.6M in financing

Published 10/06/2025, 23:12
New England Realty secures $58.6M in financing

New England Realty Associates Limited Partnership (NYSE AMERICAN:NEN), a Massachusetts-based operator of apartment buildings with a market capitalization of $262 million and a "GREAT" financial health score according to InvestingPro, has entered into two amendments to its existing credit facility with KeyBank National Association, securing a total of $58.6 million in additional financing, according to a recent 8-K filing with the Securities and Exchange Commission.

The first amendment provides the partnership with a $40 million advance at a fixed interest rate of 5.99%. The second amendment grants an additional $18.6 million at a fixed interest rate of 5.84%, secured by a mortgage on the Hamilton Highlands property. The advances are part of the partnership’s Master Credit Facility Agreement with KeyBank, originally dated November 30, 2021. With a current ratio of 0.65 and total debt of $405.5 million, the company’s short-term obligations exceed its liquid assets, as highlighted in InvestingPro’s analysis.

The partnership plans to use the $40 million advance, combined with existing cash and a bridge loan from KeyBank, to acquire the Hill Estates property in Belmont, Massachusetts. The proceeds from the $18.6 million advance have been used to refinance an existing loan with Brookline Bank.

These financial moves were completed on May 30, 2025, with the terms aligning with those disclosed in the partnership’s Quarterly Report for the quarter ended March 31, 2025. The partnership’s obligations under the amended facility are secured by mortgages on certain properties.

This report is based on information contained in the Form 8-K filed by New England Realty Associates Limited Partnership with the SEC. The company maintains a strong dividend profile with a current yield of 6.49% and has maintained dividend payments for 23 consecutive years. Unlock more insights and discover additional ProTips about NEN’s performance with an InvestingPro subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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