Millrose Properties Prices $750 Million Senior Notes Offering

09/08/2025 – 05:15 PM

MIAMI – Millrose Properties, Inc. (NYSE: MRP) announced Monday the pricing of its private offering of $750 million aggregate principal amount of 6.25% Senior Notes due 2032. This represents an upsize of $250 million from the previously announced offering size. The notes were priced at 100.000% of the principal amount, plus accrued interest, if any, from September 11, 2025. The offering is expected to close on September 11, 2025, subject to customary closing conditions.

This strategic move by Millrose comes as the company aims to optimize its capital structure. The company plans to use the net proceeds from this offering to (i) repay the entire $500 million principal amount outstanding under its term loan credit agreement, dated June 24, 2025, and maturing June 23, 2026, including related expenses, and (ii) for general corporate purposes, bolstering their financial flexibility.

The offering is structured as a private placement. These Notes and the related guarantee are being offered and sold only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended, and to certain non-U.S. persons in transactions outside the United States in reliance on Regulation S under the Securities Act. This approach is being undertaken because the Notes and the related guarantee have not been and will not be registered under the Securities Act or the securities laws of any state or other jurisdiction. Consequently, the Notes may not be offered or sold in the United States without registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities or blue sky laws and foreign securities laws.

Millrose Properties’ decision to tap the debt markets reflects increased investor appetite for real estate-backed securities, albeit in a landscape where interest rate volatility remains a key concern. Analysts at CNBC note that the 6.25% coupon reflects prevailing market conditions and sits within the expected range for companies with similar credit profiles. The upsize of the offering suggests strong demand from institutional investors, indicating confidence in Millrose’s business model and future prospects.

About Millrose Properties, Inc.

Millrose operates by purchasing and developing residential land and selling finished homesites to home builders through option contracts with predetermined costs and takedown schedules. This strategy allows Millrose to serve as a crucial partner for home builders seeking to expand their access to finished homesites while implementing an asset-light strategy. As fully developed homesites are sold, Millrose recycles capital into future land acquisitions, providing customers with durable access to community growth.

Forward-looking Statements

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934. These statements relate to the Offering, the expected use of proceeds, and other future events. All forward-looking statements are qualified by risk factors and other factors disclosed in the Company’s filings with the Securities and Exchange Commission (SEC), which are available on the SEC’s website.