BETHESDA, Md.--(BUSINESS WIRE)--
Pebblebrook Hotel Trust (NYSE: PEB) (the “Company”) today announced that
it has successfully amended and restated its senior unsecured revolving
credit facility. The amended credit facility has been increased to $600
million and is composed of a $300 million unsecured revolving credit
facility, an extension of the Company’s existing $100 million unsecured
term loan, and a 180-day option to draw down an additional $200 million
in unsecured term loan proceeds. The pricing on the amended credit
facility has been significantly reduced, the revolving credit facility
now matures in January 2019 with options to extend the maturity date to
January 2020, and the term loan now matures in January 2020.
“We greatly appreciate our bank group’s continued support,” commented
Raymond D. Martz, Chief Financial Officer for Pebblebrook Hotel Trust.
“We are thrilled with the opportunity to expand our bank group with this
new credit facility and bolster our future available debt capacity.
Furthermore, the amended credit facility extends the maturity of our
unsecured revolver and term loans while providing us with reduced
overall borrowing costs. The amended facility also allows for further
flexibility through additional access to capital for capital
reinvestments such as renovations and repositionings and potential
future acquisition opportunities as they may arise.”
The amended revolving credit facility’s interest rate is based on a
pricing grid with a range of 155 to 230 basis points over LIBOR,
determined by the Company’s leverage ratio. At the Company’s current
leverage ratio, the interest rate on the revolving credit facility would
be approximately 1.7 percent. The credit facility also includes an
accordion option that allows the Company to request additional lender
commitments up to a total of $1.0 billion. The Company currently has no
outstanding balance on the $300 million revolving credit facility.
In addition to the $300 million unsecured revolving credit facility, the
Company also extended the maturity date of its $100 million unsecured
term loan and received commitments for an additional $200 million in
unsecured term loan proceeds, which can be drawn at any time over the
next 180 days. The term loans mature in January 2020. The interest rate
on the unsecured term loans is based on a pricing grid similar to the
pricing grid on the Company’s amended revolving credit facility, with a
range of 150 to 225 basis points over LIBOR, and is determined by the
Company’s leverage ratio.
The Company’s $600 million unsecured credit facility is led by Bank of
America Merrill Lynch. Bank of America, N.A. serves as the
Administrative Agent, U.S. Bank National Association serves as the
Syndication Agent and Raymond James Bank, N.A., Regions Bank and Wells
Fargo Bank, National Association serve as Documentation Agents. The
following banks are also participants in the credit facility: Citigroup
Global Markets, Inc., PNC Bank, National Association, Capital One, N.A.,
Citizens Bank, Branch Banking and Trust Company, and Sumitomo Mitsui
Banking Corporation.
About Pebblebrook Hotel Trust
Pebblebrook Hotel Trust is a publicly traded real estate investment
trust (“REIT”) organized to opportunistically acquire and invest
primarily in upper upscale, full-service hotels located in urban markets
in major gateway cities. The Company owns 31 hotels, including 25 wholly
owned hotels with a total of 6,046 guest rooms and a 49% joint venture
interest in six hotels with a total of 1,775 guest rooms. The Company
owns, or has an ownership interest in, hotels located in ten states and
the District of Columbia, including: Los Angeles, California (Hollywood,
Santa Monica, West Hollywood and Westwood); San Diego, California; San
Francisco, California; Miami, Florida; Buckhead, Georgia; Bethesda,
Maryland; Boston, Massachusetts; Minneapolis, Minnesota; New York, New
York; Portland, Oregon; Philadelphia, Pennsylvania; Columbia River
Gorge, Washington; Seattle, Washington; and Washington, DC. For more
information, please visit us at www.pebblebrookhotels.com
and follow us on Twitter at @PebblebrookPEB.
This press release contains certain “forward-looking” statements
relating to, among other things, potential incurrence of indebtedness.Forward-looking statements are generally identifiable by use of
forward-looking terminology such as “may,” “will,” “should,”
“potential,” “intend,” “expect,” “seek,” “anticipate,” “estimate,”
“approximately,” “believe,” “could,” “project,” “predict,” “forecast,”
“continue,” “plan” or other similar words or expressions.Forward-looking
statements are based on certain assumptions and can include future
expectations, future plans and strategies, financial and operating
projections or other forward-looking information.These
forward-looking statements are subject to various risks and
uncertainties, many of which are beyond the Company’s control, which
could cause actual results to differ materially from such statements.These risks and uncertainties include, but are not limited to, the
state of the U.S. economy and the supply of hotel properties, and other
factors as are described in greater detail in the Company’s filings with
the Securities and Exchange Commission, including, without limitation,
the Company’s Annual Report on Form 10-K for the year ended December 31,
2013.Unless legally required, the Company disclaims any
obligation to update any forward-looking statements, whether as a result
of new information, future events or otherwise.
For further information about the Company’s business and financial
results, please refer to the “Management’s Discussion and Analysis of
Financial Condition and Results of Operations” and “Risk Factors”
sections of the Company’s SEC filings, including, but not limited to,
its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q,
copies of which may be obtained at the Investor Relations section of the
Company’s website at www.pebblebrookhotels.com.
All information in this release is as of October 17, 2014.The
Company undertakes no duty to update the statements in this release to
conform the statements to actual results or changes in the Company’s
expectations.
For additional information or to receive press releases via email,
please visit our website at www.pebblebrookhotels.com
Pebblebrook Hotel Trust
Raymond D. Martz, 240-507-1330
Chief
Financial Officer
Source: Pebblebrook Hotel Trust