Alpine Income Property announces $24M first mortgage investment

Alpine Income Property Trust announced that it has entered into an agreement to provide a $24.0 million first mortgage secured by 41 retail properties located throughout the United States. The three-year Loan was fully funded at closing and is interest-only through maturity. The Loan includes an origination fee and bears an initial fixed interest rate of 8.75% for the first year, before increasing to 9.0% in year two and 9.25% in year three. In addition to the Loan investment, the Company anticipates entering into a revenue sharing agreement with a subsidiary of CTO Realty Growth, its external manager. It is expected that the revenue sharing agreement will allow PINE to receive a share of the asset management fees, disposition management fees, leasing commissions and other fees related to CTO’s management and administration of the Portfolio. The Company’s revenue from the Revenue Sharing Agreement is forecasted to be approximately $16,000 per month and will be reduced as single tenant properties within the Portfolio are sold. “As we seek out longer duration core investment opportunities with more compelling yields than what is currently available in the market today, we’re excited about the opportunity to invest in this low leverage, shorter duration first mortgage loan that provides what we believe is an outsized current yield and attractive fee stream,” noted John P. Albright, President and Chief Executive Officer of Alpine Income Property Trust.