BRT Apartments Corp. Amends Credit Facility, Increases Buyback to $10M

What Happened

• On September 17, 2026, BRT Apartments Corp. announced a fourth amendment to its Amended and Restated Loan Agreement with VNB New York, LLC. The amendment reduces the interest spread on the credit facility to three‑month term SOFR plus 210 basis points (from SOFR + 250 bps), lowers the minimum interest rate payable to 5% (from 6%), and reduces the adjustable cap rate used to value the assets securing the facility to 6.25% (from 6.5%). As of that date, BRT can borrow up to $40 million under the amended facility.
• On the same date the company’s board authorized replenishing the stock repurchase program, increasing the total amount available for repurchases to $10 million.

Key Details

• Lender: VNB New York, LLC; amendment dated September 17, 2026.
• Interest terms: spread lowered to SOFR + 210 basis points; minimum interest floor lowered to 5%.
• Security/valuation: adjustable cap rate for collateral valuation reduced to 6.25% (from 6.5%).
• Liquidity/Buyback: borrowing capacity of $40 million under the facility; share repurchase authorization increased to $10 million.

Why It Matters

• Lowering the spread and the interest floor reduces BRT’s potential borrowing cost, which can improve cash flow and reduce interest expense when the company draws on the facility. The $40M available borrowing capacity supports near‑term liquidity needs.
• Increasing the buyback authorization to $10M signals management’s intent to return capital to shareholders (timing and actual repurchases were not disclosed) and may support the stock if repurchases occur.
• These are financing and capital-allocation actions—important to investors tracking BRT’s liquidity, cost of capital, and shareholder-return policy.