Morgan May Hold $700M of Hard-to-Sell REIT Loan

By Weidner, David | American Banker, July 17, 1998 | Go to article overview

Morgan May Hold $700M of Hard-to-Sell REIT Loan


Weidner, David, American Banker


With the deadline for commitments passed, J.P. Morgan & Co. expects to keep as much as $700 million of a $2.25 billion loan for Meditrust Corp. on its books, market sources said.

By holding so much of the loan, Morgan is indicating that it is having difficulty syndicating what has turned into a bad-luck credit.

A marketing effort by Salomon Smith Barney Inc. for the same Meditrust financing failed in May. Morgan was hired by Meditrust to syndicate the deal in June.

The bank's decision to carry a piece of the Meditrust loan stood out in a strong week for syndicated lending.

Three deals worth a combined $19 billion are on the market and are expected to sell out.

J.P. Morgan is lead arranger of the Meditrust loan, working with co- underwriters Bankers Trust Co., Fleet Financial Group, and BankBoston Corp.

These banks took a commitment of $563 million each in hopes of syndicating the loan to other lenders.

Sources say NationsBank Corp. committed $150 million to the deal, and Oak Brook Bank in Illinois committed $10 million.

Despite its own high commitment to the loan, Morgan has had some success with the Meditrust deal.

It restructured the financing last week to increase the amount available to institutional investors, who eventually committed to $1.25 billion worth of the loan.

Morgan expected to take a substantial portion of the loan to build a relationship with Meditrust, sources said. A real estate investment trust in Needham Heights, Mass., Meditrust specializes in health care-related properties. It plans to use the loan to pay for a hotel chain and golf- course holding company.

Meanwhile, three large issues in the market gained support this week. They are:

A $7 billion loan to Lyondell Petrochemical Inc. for its buyout of Arco Chemical Co. led by J.P. Morgan, Donaldson, Lufkin & Jenrette, BankAmerica Corp. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Morgan May Hold $700M of Hard-to-Sell REIT Loan
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.