Creative Media & Community Trust Corp. Enters Material Agreement

TL;DR

CMCT just signed a big deal, could be debt or something else.

AI Summary

On December 6, 2024, Creative Media & Community Trust Corp. entered into a material definitive agreement related to a financial obligation. The company, formerly known as CIM Commercial Trust Corp. and PMC Commercial Trust, is incorporated in Maryland and headquartered in Dallas, Texas.

Why It Matters

This filing indicates a significant new financial commitment or obligation for Creative Media & Community Trust Corp., which could impact its financial structure and future operations.

Risk Assessment

Risk Level: medium — Entering into material definitive agreements can introduce new financial obligations or strategic shifts that carry inherent risks.

Key Players & Entities

• Creative Media & Community Trust Corp. (company) — Registrant
• December 6, 2024 (date) — Date of earliest event reported
• CIM Commercial Trust Corp. (company) — Former company name
• PMC Commercial Trust (company) — Former company name
• Maryland (jurisdiction) — State of incorporation
• Dallas, Texas (location) — Business address

FAQ

Key Financial Figures

• $0.001 — ange on which registered Common Stock, $0.001 Par Value CMCT Nasdaq Global Market C
• $92.2 million — ted a first lien mortgage loan of up to $92.2 million (the "Mortgage Loan") to CIM/J Street H
• $84.3 million — ). The Mortgage Loan consists of (a) a $84.3 million closing day advance that was used by th
• $71.9 million — paydown existing debt in the amount of $71.9 million under the Company's Amended and Restate
• $7.9 million — (b) a future advance component of up to $7.9 million to partially fund future renovations at
• $12,541,846 — ons under the Loan, subject to a cap of $12,541,846 (the expected cost of the Renovations a
• $75 million — to maintain a net worth of no less than $75 million and liquid assets of no less than $5 mi
• $5 m — llion and liquid assets of no less than $5 million, in each case, exclusive of the v

Filing Documents

• cmct-20241206.htm (8-K) — 38KB
• exhibit101-dbxsheratongran.htm (EX-10.1) — 1879KB
• exhibit102-dbxsheratongran.htm (EX-10.2) — 136KB
• exhibit103-dbxsheratongran.htm (EX-10.3) — 76KB
• exhibit104-dbxsheratongran.htm (EX-10.4) — 124KB
• exhibit105-dbxsheratongran.htm (EX-10.5) — 111KB
• image_0a.jpg (GRAPHIC) — 107KB
• image_1.jpg (GRAPHIC) — 238KB
• image_2.jpg (GRAPHIC) — 182KB
• image_3.jpg (GRAPHIC) — 129KB
• image_4.jpg (GRAPHIC) — 27KB
• image_5.jpg (GRAPHIC) — 155KB
• image_6.jpg (GRAPHIC) — 3063KB
• image_7.jpg (GRAPHIC) — 135KB
• 0000908311-24-000069.txt ( ) — 8502KB
• cmct-20241206.xsd (EX-101.SCH) — 3KB
• cmct-20241206_def.xml (EX-101.DEF) — 18KB
• cmct-20241206_lab.xml (EX-101.LAB) — 32KB
• cmct-20241206_pre.xml (EX-101.PRE) — 19KB
• cmct-20241206_htm.xml (XML) — 5KB

01 Entry into a Material Definitive Agreement

Item 1.01 Entry into a Material Definitive Agreement. On December 6, 2024 (the "Origination Date") Deutsche Bank AG, New York Branch (the "Lender") originated a first lien mortgage loan of up to $92.2 million (the "Mortgage Loan") to CIM/J Street Hotel Sacramento Owner, LLC, CIM/J Street Hotel Sacramento ML, LLC and CIM/J Street Garage Sacramento Owner, LLC (collectively, the "Borrowers") (the "Loan Agreement"), each of which is a subsidiary of Creative Media & Community Trust Corporation (the "Company"). The Mortgage Loan is secured by, among other things, first priority deeds of trust, security agreements or other similar security instruments on the Borrowers' fee simple and leasehold interests in the Sheraton Grand Sacramento, a 505-room full-service hotel located in downtown Sacramento, California (the "Hotel Property"), and a 5-story parking garage across-the-street from the Hotel Property (the "Garage Property", and collectively with the Hotel Property, the "Properties"). The Mortgage Loan consists of (a) a $84.3 million closing day advance that was used by the Company to paydown existing debt in the amount of $71.9 million under the Company's Amended and Restated Credit Agreement, dated as of December 16, 2022 by and among the borrowers party thereto, the lenders party thereto and JPMorgan Chase Bank, N.A., as administrative agent (the "Facility"), fund renovations at the Hotel Property and pay certain of the fees and expenses incurred in connection with the entry of the Loan Agreement, and (b) a future advance component of up to $7.9 million to partially fund future renovations at the Hotel Property (the "Renovation"). In connection with entry into the Loan Agreement, the Properties were released as collateral for the Facility and the Borrowers were released from their obligations under the Facility. The Mortgage Loan is a floating-rate, interest-only, non-recourse loan with a two-year initial term ending in December 2026, with three one-year extension op

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. Exhibit Number Exhibit Description 10.1* Loan Agreement, dates as of December 6, 2024, by and among the Borrowers and the Lender. 10.2* Guaranty of Non-Recourse Exceptions, dated as of December 6, 2024, by the Company for the benefit of the Lender . 10.3* Environmental Indemnity Agreement, dated as of December 6, 2024, by the Borrowers and the Company for the benefit of the Lender. 10.4* Completion Guaranty, dated as of December 6, 2024, by the Company for the benefit of the Lender. 10.5* Guaranty of Payment, dated as of December 6, 2024, by the Company for the benefit of the Lender. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). *Filed herewith SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. CREATIVE MEDIA & COMMUNITY TRUST CORPORATION Dated: December 10, 2024 By: /s/ Barry N. Berlin Barry N. Berlin Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR