VICI Properties Inc. (NYSE:VICI) (“VICI Properties”, “VICI” or the “Company”) an experiential real estate investment trust, today announced that the Company provided the previously announced mortgage financing secured primarily by Canyon Ranch Tucson and Canyon Ranch Lenox in an amount of $140,135,000. The proceeds from the mortgage financing were used to refinance Canyon Ranch’s existing CMBS secured by these two assets. The mortgage financing has an initial term of two years with three one-year extensions, exercisable at Canyon Ranch’s option, subject to satisfying certain customary extension conditions.
The mortgage financing is part of the previously announced VICI-Canyon Ranch Growth Partnership, in which VICI entered into a call right agreement whereby VICI will have the option to purchase the real estate assets of each of Canyon Ranch Tucson and Canyon Ranch Lenox, subject to certain conditions. If the call right(s) are exercised, Canyon Ranch would continue to operate the applicable wellness resort(s) subject to a long-term triple net master lease with VICI and the transaction proceeds would be applied to repay the mortgage financing.
The $140 million mortgage financing was funded with cash on hand.
