This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Pebblebrook Hotel Trust Completes $300 Million Credit Facility

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 was increased to $300 million and is composed of a $200 million unsecured revolving credit facility and a $100 million unsecured term loan. The pricing on the amended credit facility has been significantly reduced and the facility now matures in July 2016 with an option to extend to July 2017. All other business terms are substantially the same as the prior credit facility.

“We are extremely pleased with the continued strong support from our bank group,” noted Raymond D. Martz, Chief Financial Officer for Pebblebrook Hotel Trust. “This amended credit facility allows us to substantially reduce our borrowing costs, while also extending the maturity of our facility and increasing the capital we have available for future acquisitions and capital investments. This amended credit facility further reduces our overall cost of capital while also enabling us to maintain our targeted conservative capital structure.”

The amended revolving credit facility’s interest rate is based on a pricing grid with a range of 175 to 250 basis points over LIBOR, based on the Company’s leverage ratio. Based on the Company’s current leverage ratio, the interest rate on the revolving credit facility would be approximately 2.0 percent. The credit facility also includes an accordion option that allows the Company to request additional lender commitments up to a total of $600 million. The Company currently has no outstanding balance on the $200 million revolving credit facility.

In addition to the $200 million unsecured revolving credit facility, the Company also completed a $100 million unsecured term loan. The term loan has a five-year term maturing July 2017 and a 30-day delayed draw feature. The interest rate on the unsecured term loan is based on a pricing grid similar to the pricing grid on the Company’s amended revolving credit facility and is determined by the Company’s leverage ratio. The Company has not yet utilized this new $100 million term loan, but it anticipates that it will do so within the next 30 days.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs