BLOOMFIELD HILLS, Mich., Nov. 13, 2013 /PRNewswire/ -- Taubman Centers, Inc. (NYSE: TCO) today announced the closing of a new $475 million unsecured term loan. The unsecured term loan includes an accordion feature that would increase the borrowing capacity to as much as $600 million, if fully exercised and subject to specified conditions. It will mature in February 2019 and bears interest at a range based on the company's total leverage ratio. As of the loan closing, the leverage ratio results in a rate of LIBOR plus 1.35 percent. (Logo: http://photos.prnewswire.com/prnh/20080428/CLM116LOGO) "This unsecured term loan is a new form of capital for us," said Lisa A. Payne, vice chairman and chief financial officer. "It's low cost, flexible, and relatively long-term in nature. It works perfectly for our capital structure and slots well within our debt maturities schedule since we have no other debt maturing in 2019." Proceeds were used to pay off the current 5.28 percent, $305 million loan on Beverly Center ( Los Angeles, Calif.). Excess proceeds, net of fees and accrued interest, of $165 million were used to pay down the company's lines of credit. The entities that own Beverly Center, Dolphin Mall ( Miami, Fla.), Fairlane Town Center ( Dearborn, Mich.), Twelve Oaks Mall ( Novi, Mich.) and The Shops at Willow Bend ( Plano, Texas) will be guarantors under the new $475 million unsecured term loan as well as the company's $1.1 billion revolving line of credit, and will be unencumbered assets under both loans. The bookrunner, administrative agent, and joint lead arranger for the loan was J.P. Morgan Chase Bank, N.A. PNC Bank N.A. served as syndication agent and joint lead arranger. Wells Fargo Bank, N.A. acted as documentation agent. Ten banks in total participated in the loan.