Inland American Real Estate Trust, Inc. (“Inland American”), announced
today it has entered into a new, three-year $200 million unsecured
revolving line of credit facility, and a four-year, $75 million
unsecured term loan, with a group of lenders led by KeyBanc Capital
Markets, Inc. (“KeyBanc”) and JPMorgan Securities LLC. The credit
facility is available for general corporate purposes including
acquisitions, new developments and maturing debt payoffs. This borrowing
capacity significantly increases Inland American’s financial resources
for both working capital and growth.
"We’re pleased to have executed this significant credit facility.
Combined with our cash position and strong balance sheet, this credit
facility ensures that we have the financial capacity required to support
our strategic growth initiatives," said Jack Potts, principal financial
officer of Inland American. “KeyBanc has been very flexible and
responsive during this process. They’ve worked with Inland American to
structure an agreement that supports our company’s growth today and into
the future during the term of the credit facility.”
The new line includes an accordion feature that would increase the
borrowing capacity to as much as $600 million, if fully exercised.
Maturing in May 2016, the unsecured revolving line includes a one-year
extension option. Pricing is based on the Company's total leverage
ratio. At today's leverage, pricing on the revolver is LIBOR plus 1.90%
and LIBOR plus 1.80% on the term loan. For this facility, KeyBanc and
J.P. Morgan Securities LLC were joint lead arrangers. KeyBank National
Association is administrative agent and JPMorgan Chase Bank, N.A. acted
as the syndication agent. In addition to the above financial
institutions, Bank of America, N.A., Citibank, N.A. and Wells Fargo Bank
were co-documentation agents and lenders in the facility.
About Inland American Real Estate Trust, Inc.
Inland American Real Estate Trust, Inc. focuses on acquiring and
developing a diversified portfolio of commercial real estate located in
the United States. The company also invests in joint ventures,
development projects, real estate loans and marketable securities. As of
December 31, 2012 Inland American owned, directly or indirectly through
joint ventures in which it has a controlling interest, 794 properties,
representing approximately 46 million square feet of retail, industrial
and office properties, 5,311 conventional multi-family units, 5,212
student housing beds and 16,345 lodging rooms. Inland American is one of
six REITs that are, or have been, sponsored by affiliates of The Inland
Real Estate Group of Companies, Inc. For further information regarding
Inland American, please refer to the company website at www.inlandamerican.com.