Liberty Property: Entry Into A Material Definitive Agreement
The following excerpt is from the company's SEC filing
The Credit Agreement amends and restates in its entirety that certain Third Amended and Restated Credit Agreement, dated as of October 21, 2011, which provided for the making of loans by the lenders named therein to the Borrower in an aggregate principal amount at any one time outstanding not to exceed $500 million, subject to increase to up to $750 million as set forth therein.
Borrowings under the Credit Facility bear interest at (a) LIBOR or (b) the specified base rate plus a margin specified in the Credit Agreement.
The Borrower must repay all advances by March 26, 2018 or such earlier date on whi
ch the loans become due and payable pursuant to the terms of the Credit Agreement. The Borrower has rights to extend the maturity date for up to one additional year.
· the ratio of unsecured debt to value of all unencumbered properties may not exceed 60% (or, in certain circumstances, 65%) with certain exceptions;
· the ratio of total debt (net of certain amounts specified in the Credit Agreement) to total assets may not exceed 60% (or, in certain circumstances, 65%) with certain exceptions;
· the ratio of secured debt (net of certain amounts specified in the Credit Agreement) to total asset value may not exceed 35%;
· the ratio of adjusted net operating income from all unencumbered properties to interest expense on unsecured indebtedness may not be less than 1.75 to 1.0 for any fiscal quarter; and
The Credit Facility contains customary events of default. If an event of default occurs and is continuing, the Borrower might be required to repay all amounts outstanding under the Credit Facility.
Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
The information disclosed above under Item 1.01 is incorporated herein by reference.
The above information was disclosed in a filing to the SEC. To see this filing in its entirety, click here.
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Other recent filings from the company include the following:
Jeanne Leonard, Liberty Property Trust, 610.648.1704 - Sept. 9, 2014