Malvern, PA, October 24, 2011 -- Liberty Property Trust (NYSE:LRY) announced today that it has entered into a new $500 million unsecured revolving credit facility maturing November 2, 2015, which replaces its previous $500 million credit line scheduled to mature November 1, 2013.
Based upon the Company’s current credit ratings, borrowings under the new facility will bear interest at LIBOR plus 107.5 basis points, with a 20 basis point facility fee. Based on current credit ratings, interest under the previous facility was LIBOR plus 210 basis points, with a 40 basis point facility fee.
Similar to the previous facility, the new line contains an accordion feature which allows Liberty to increase its credit facility amount up to $750 million. Liberty also has the option to extend the maturity date for one year.
For this financing, Merrill Lynch, Pierce, Fenner & Smith Incorporated and J.P. Morgan Securities LLC were Joint Lead Arrangers and Joint Bookrunners. Bank of America, N.A. is acting as Administrative Agent; JPMorgan Chase Bank, N.A. as Syndication Agent. Other participants include SunTrust Bank, Citizensbank of Pennsylvania, Wells Fargo Bank, N.A., PNC Bank, N.A., Citibank, N.A., UBS Loan Finance, LLC, U.S. Bank, N.A., Capital One, NA, Bank of Tokyo-Mitsubishi UFJ, Ltd, Branch Banking & Trust Company, First Niagara Bank, N.A., Huntington National Bank, and Chang Hwa Commercial Bank, Ltd, New York Branch.
About the Company
Liberty Property Trust is a leader in commercial real estate, serving customers in the United States and United Kingdom, through the development, acquisition, ownership and management of superior office and industrial properties. Liberty's 78 million square foot portfolio includes nearly 700 properties which provide office, distribution and light manufacturing facilities to 1,900 tenants.
The statements contained in this press release may include forward-looking statements within the meaning of the federal securities law. Although Liberty believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved. As forward-looking statements, these statements involve risks, uncertainties and other factors that could cause actual results to differ materially from the expected results. These factors include, without limitation, the uncertainties affecting real estate businesses generally (such as entry into new leases, renewals of leases and dependence on tenants’ business operations), risks relating to our ability to maintain and increase property occupancy and rental rates, the financial condition of tenants, the uncertainties of real estate development and construction activity, the costs and availability of financing, the effects of local economic and market conditions, regulatory changes, potential liability relative to environmental matters and other risks and uncertainties detailed in the company’s filings with the Securities and Exchange Commission. The company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
Jeanne A. Leonard
Liberty Property Trust