Thomas Properties Group Announces Refinancing of Murano

LOS ANGELES--()--Thomas Properties Group, Inc. (NASDAQ: TPGI) announced today that on June 21, 2011, the partnership that owns Murano, a high-rise residential condominium project in downtown Philadelphia, closed a new first mortgage loan.

The new mortgage loan in the amount of $21.5 million was made by Wells Fargo Bank, National Association. At closing, $19.9 million of the loan was funded, with an additional $1.4 million available for funding interest expense and $0.2 million available for leasing costs related to the retail space. The loan bears interest at the one-month London Inter Bank Offered Rate (“LIBOR”) plus 3.75% and matures on December 15, 2013. The loan will be amortized through the sale of approximately 77 unsold condominium units, with a minimum amortization of $4.3 million each six months during the term of the loan. The new mortgage loan refinances the prior construction loan that had an outstanding balance of $19.9 million, which was scheduled to mature on July 31, 2011 and was bearing interest at 9.5%.

This refinancing relieves us of the obligation to pay down the prior loan by $4.6 million which would have been required for an extension of the maturity date of that loan and reduces the annual interest rate by approximately 5.6%. The new loan balance represents approximately $200 per square foot for the remaining unsold units,” stated John Sischo, Co-Chief Operating Officer.

About Thomas Properties Group, Inc.

Thomas Properties Group, Inc., based in Los Angeles, is a full-service real estate company that owns, acquires, develops and manages primarily office, as well as mixed-use and residential properties on a nationwide basis. The company's primary areas of focus are the acquisition and ownership of premier properties, both on a consolidated basis and through its strategic joint ventures, property development and redevelopment, and property management and leasing activities. For more information about Thomas Properties Group, Inc., please visit www.tpgre.com.

Forward-Looking Statements

Statements made in this press release that are not historical may contain forward-looking statements. Although TPGI believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, these statements are subject to numerous risks and uncertainties. Factors that could cause actual results to differ materially from TPGI’s expectations include actual and perceived trends in various national and economic conditions that affect global and regional markets for commercial real estate services, including interest rates, the availability of credit and equity investors to finance commercial real estate transactions, our ability to enter into or renew leases at favorable rates, which can be impacted by the financial condition of our tenants, risks associated with the success of our development and property redevelopment projects, general volatility in the securities and credit markets, and the impact of tax laws affecting real estate. For a discussion of some of the factors that may cause our results to differ from management's expectations, see the information under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations - Factors That May Influence Future Results of Operations" in our 10-K for the year ended December 31, 2010, and contained in our reports on Form 10-Q for fiscal quarters during 2011, which have been filed with the SEC. TPGI disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts

Investor Contact:
Thomas Properties Group, Inc.
Diana Laing, 213-613-1900
dlaing@tpgre.com

Contacts

Investor Contact:
Thomas Properties Group, Inc.
Diana Laing, 213-613-1900
dlaing@tpgre.com